Brenda and Tom want to save $30,000 over the next four years for a down payment on a house. What amount must they regularly save from their month-end pay if their savings can earn 5.5% compounded semi-annually?

Compounded Semi-annually

Interest calculation method where interest is added to the principal twice a year.

Down Payment

An upfront payment made when purchasing an item on credit, often a significant percentage of the total purchase price.