1. Tom plans to start saving money into a retirement account as soon as he gets his first job and will continue to do so for the next 40 years. For each $100 he saves, how much will he have at the end of 40 years if he earns 8% per year? 2. Susan and Bob are friends at USF. They plan different saving strategies once they get their first job. Both figure they will work for about 40 years. Susan plans to suck it up and live a bit on the frugal side for the first 10 years of her work life, then stop saving and allow whatever money she has accumulated by then to grow for the last 30 years of her accumulation phase. Bob figures you are only young once and plans to spend what he has for the first 10 years of his work life, then save for the next 30 years. For each $100 saved, who will be better off if they follow their plans and earn 8% percent per year on their savings?

3. How much will Bob need to save to match Susan at the end of 40 years?