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4. Looking forward - Future value Aa Compounding Interest You know that paying yourself (by depositing money in a savings account) is a prudent start

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4. Looking forward - Future value Aa Compounding Interest You know that paying yourself (by depositing money in a savings account) is a prudent start to your retirement plan. You determined that, based on your other obligations, you can save $6,500.00 per year via an annual, single year-end deposit. Let's say that you are age 30 now, so your money will grow for the next 35 years until you reach age 65. You will open a savings account at the Citibank branch near your home. Its savings accounts are paying 6% interest Year 12 15 20 25 30 35 40 2% 10.950 13.412 17.293 24.297 32.030 40.567 49.994 60.401 Future Value of Annuity Factors 3% 5% 6% 8% 11.460 12.578 13.180 14.487 14.190 - 15.917 16.870 18.977 18.600 21.578 23.270 27.152 26.870 33.066 36.780 45.762 36.460 47.726 54.860 73.105 47.570 66.438 79.060 113.282 60.460 90.318 111.430172.314 75.400 120.797 154.760 259.052 9% 15.190 20.140 29.360 51.160 84.700 136.300 215.700 337.870 10% 15.937 21.384 31.772 57.274 98.346 164.491 271.018 442.580 L To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) $724,295.00 You began your savings program at age 30. If you had started five years earlier, such th $1,005,940.00 years, what would your nest egg be worth, assuming the same inter $1,683,838.00 savings amount? (Note: Round to two decimal places.) 51,120,041.00 grow for Compounding Interest You know that paying yourself (by depositing money in a savings account) is a prudent start to your retirement plan. You determined that, based on your other obligations, you can save $6,500.00 per year via an annual, single year-end deposit. Let's say that you are age 30 now, so your money will grow for the next 35 years until you reach age 65. You will open a savings account at the Citibank branch near your home. Its savings accounts are paying 6% interest Year 10 15 20 25 30 2% 10.950 13.412 17.293 24.297 32.030 40.567 49.994 60.401 Future Value of Annuity Factors 3% 5% 6% 8% 9% 10% 11.460 12.578 13.180 14.487 15.190 15.937 14.190 15.917 16.870 18.977 20.140 21.384 18.600 21.578 23.270 27.152 29.360 31.772 26.870 33.066 36.780 45.762 51.160 57.274 36.460 47.726 54.86073.105 84.700 98.346 47.570 66.438 79.060 113.282 136.300 164.491 60.460 90.318 111.430172.314 215.700 271.018 75.400 120.797 154.760 259.052337.870 442.580 40 To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) for You began your savings program at age 30. If you had started five years earlier, such that your funds would grow years, what would your nest egg be worth, assuming the same interest rate and annual savings amount? (Note: Round to two decimal places) 51,120,041.00 $1,120,041.00 51,683,838.00 $724,295.00 $1,005,940.00 A new bank in town offers 8% interest. How much would your yearly deposits be worth if you open a savings To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) You began your savings program at age 30. If you had started five years earlier, such that your funds would grow years, what would your nest egg be worth, assuming the same interest rate and annual savings amount? (Note: Round to two decimal places. $1,120,041.00 for A new bank in town offers 8% interest. How much would your yearly deposits be worth if you open a savings account there, assuming that your funds are invested for 35 years and all other factors staying the same? To calculate the revised value of your nest egg, reenter the provided data, remembering to change the FVA factor based on the change in interest rate. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) $724,295.00 Again, if you had started your savings program five years earlier, what would your nest $1,120,041.00 that your funds were invested at this higher interest rate, the annual savings amount rem 1.005.940.00 funds are invested for years? (Note: Round to two decimal places. $1,683,838.00 ling the To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field. Annual savings Years over which it will grow Interest rate Interest factor 1 What will be the value of this money in 35 years? (Note: Round to two decimal places.) You began your savings program at age 30. If you had started five years earlier, such that your funds would grow years, what would your nest egg be worth, assuming the same interest rate and annual savings amount? (Note: Round to two decimal places.) $1,120,041.00 for A new bank in town offers 8% interest. How much would your yearly deposits be worth if you open a savings account there, assuming that your funds are invested for 35 years and all other factors staying the same? To calculate the revised value of your nest egg, reenter the provided data, remembering to change the FVA factor based on the change in interest rate. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) Again, if you had started your savings program five years earlier, what would your nest egg be worth, assuming that your funds were invested at this higher interest rate, the annual savings amount remains the same, and the funds are invested for years? (Note: Round to two decimal places.) $1,005,940.00 $1,120,041.00 $724,295.00 $1,683,838.00 4. Looking forward - Future value Aa Compounding Interest You know that paying yourself (by depositing money in a savings account) is a prudent start to your retirement plan. You determined that, based on your other obligations, you can save $6,500.00 per year via an annual, single year-end deposit. Let's say that you are age 30 now, so your money will grow for the next 35 years until you reach age 65. You will open a savings account at the Citibank branch near your home. Its savings accounts are paying 6% interest Year 12 15 20 25 30 35 40 2% 10.950 13.412 17.293 24.297 32.030 40.567 49.994 60.401 Future Value of Annuity Factors 3% 5% 6% 8% 11.460 12.578 13.180 14.487 14.190 - 15.917 16.870 18.977 18.600 21.578 23.270 27.152 26.870 33.066 36.780 45.762 36.460 47.726 54.860 73.105 47.570 66.438 79.060 113.282 60.460 90.318 111.430172.314 75.400 120.797 154.760 259.052 9% 15.190 20.140 29.360 51.160 84.700 136.300 215.700 337.870 10% 15.937 21.384 31.772 57.274 98.346 164.491 271.018 442.580 L To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) $724,295.00 You began your savings program at age 30. If you had started five years earlier, such th $1,005,940.00 years, what would your nest egg be worth, assuming the same inter $1,683,838.00 savings amount? (Note: Round to two decimal places.) 51,120,041.00 grow for Compounding Interest You know that paying yourself (by depositing money in a savings account) is a prudent start to your retirement plan. You determined that, based on your other obligations, you can save $6,500.00 per year via an annual, single year-end deposit. Let's say that you are age 30 now, so your money will grow for the next 35 years until you reach age 65. You will open a savings account at the Citibank branch near your home. Its savings accounts are paying 6% interest Year 10 15 20 25 30 2% 10.950 13.412 17.293 24.297 32.030 40.567 49.994 60.401 Future Value of Annuity Factors 3% 5% 6% 8% 9% 10% 11.460 12.578 13.180 14.487 15.190 15.937 14.190 15.917 16.870 18.977 20.140 21.384 18.600 21.578 23.270 27.152 29.360 31.772 26.870 33.066 36.780 45.762 51.160 57.274 36.460 47.726 54.86073.105 84.700 98.346 47.570 66.438 79.060 113.282 136.300 164.491 60.460 90.318 111.430172.314 215.700 271.018 75.400 120.797 154.760 259.052337.870 442.580 40 To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) for You began your savings program at age 30. If you had started five years earlier, such that your funds would grow years, what would your nest egg be worth, assuming the same interest rate and annual savings amount? (Note: Round to two decimal places) 51,120,041.00 $1,120,041.00 51,683,838.00 $724,295.00 $1,005,940.00 A new bank in town offers 8% interest. How much would your yearly deposits be worth if you open a savings To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) You began your savings program at age 30. If you had started five years earlier, such that your funds would grow years, what would your nest egg be worth, assuming the same interest rate and annual savings amount? (Note: Round to two decimal places. $1,120,041.00 for A new bank in town offers 8% interest. How much would your yearly deposits be worth if you open a savings account there, assuming that your funds are invested for 35 years and all other factors staying the same? To calculate the revised value of your nest egg, reenter the provided data, remembering to change the FVA factor based on the change in interest rate. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) $724,295.00 Again, if you had started your savings program five years earlier, what would your nest $1,120,041.00 that your funds were invested at this higher interest rate, the annual savings amount rem 1.005.940.00 funds are invested for years? (Note: Round to two decimal places. $1,683,838.00 ling the To calculate the value of this nest egg, enter the data provided by entering the correct value in the applicable entry field. Annual savings Years over which it will grow Interest rate Interest factor 1 What will be the value of this money in 35 years? (Note: Round to two decimal places.) You began your savings program at age 30. If you had started five years earlier, such that your funds would grow years, what would your nest egg be worth, assuming the same interest rate and annual savings amount? (Note: Round to two decimal places.) $1,120,041.00 for A new bank in town offers 8% interest. How much would your yearly deposits be worth if you open a savings account there, assuming that your funds are invested for 35 years and all other factors staying the same? To calculate the revised value of your nest egg, reenter the provided data, remembering to change the FVA factor based on the change in interest rate. Annual savings Years over which it will grow Interest rate Interest factor What will be the value of this money in 35 years? (Note: Round to two decimal places.) Again, if you had started your savings program five years earlier, what would your nest egg be worth, assuming that your funds were invested at this higher interest rate, the annual savings amount remains the same, and the funds are invested for years? (Note: Round to two decimal places.) $1,005,940.00 $1,120,041.00 $724,295.00 $1,683,838.00

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