Problem:
John has some extra cash today in the amount of $240 and places the money in the bank for 9 years. John expects to have extra cash one-year from today in the amount of $590, and will leave this second amount in the bank for 8 years. All savings earn the interest rate of 4.25%.
Required:
Question 1: What will be the future value of John's bank account in 9 years from today?
Clarify broadly and show all workings.