12000*(1.05^0 + 1.05^1 + 1.05^2 + 1.05^3 + 1.05^4) = 66307.575.....
Another way:
12 * [(1000*1.05^5 - 1000*1.05^0) / .05]
Say the monthly rent is $1000 and terms of the rent state that there is an annual increase in rent for 5%. If I were to find the total rent paid in 5 years, how would I do that
I at first tried using FVIFGA, future value interest factor of growing annuity where I used an interest rate of 0% a growth rate of 5% and for 5 period that did not work out
Can anyone here help me out with this one please ?