Name:_______________________________________ Date:_______________

Chapter 10 Check It! Planning Form

Saving for the Big Trip

Read the following:
You want to go on the foreign language trip to Spain in your senior year. You have three years to come
up with the $2,200 necessary to go on the trip. Your parents have agreed to match whatever you have
saved towards the trip, so that means that you need to save at least $1,100. Because of school and
activities, you don’t work during the school year. You have $1,000 in your savings account. You
researched an investment account that you can put $1,000 into for three years and earn 3.5% annually.
You want to figure out if you will have your share of the trip cost at the end of three years.

Instructions

1. Using the table below, calculate the interest earned each year. Interest is compounded annually.

2. Calculate the ending balance of your savings each year with interest and carry the new balance
forward to the next year.

3. Complete the table and answer the questions.

Year Beginning Balance Interest Earned (3.5%) Ending Balance

1 $1,000.00

Amount at end of year 3: $

Amount matched by parents: $

Total: $

Do you have enough money to reach your savings goal?

© B.E. Publishing, Inc. All rights reserved. Page 1 of 1