1.a

Although appealing to more refined tastes, art as a collectible has not always performed so profitably. During 2003, an auction house sold a sculpture at auction for a price of $10,321,500. Unfortunately for the previous owner, he had purchased it in 1998 at a price of $12,397,500.

What was his annual rate of return on this sculpture? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

You have just made your first $5,500 contribution to your retirement account. Assume you earn a return of 12 percent per year and make no additional contributions.

1.b

a.	What will your account be worth when you retire in 40 years? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
b.	What if you wait 10 years before contributing? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)