Question
As an advisor of an investment company, you've been confronted with selecting the investments for your investor retirement plan. You have four choices for investing
As an advisor of an investment company, you've been confronted with selecting the investments for your investor retirement plan. You have four choices for investing their money: 1. A money market fund that has historically returned about 2% per year. 2. A long-term bond fund that has earned an average annual return of 3%. 3. A conservative common-stock fund that has earned 7% per year. 4. An aggressive common-stock fund that has earned 10% per year. The questions: a) The investment contribution you made depends on you (but range from $10,000 - 50,000 per year) for the next 35 years, how much would you accumulate in each of the above funds? b. Set up a scenario analysis that shows your accumulated value in each fund if you were to invest quarterly, monthly, biweekly, and weekly. Create a scenario summary of your results. (Screen a. capture your scenario analysis and put it in your excel)
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