Bella, who is currently 25 years old, wants to invest money into a retirement fund so as to have $2,000,000 saved up when she retires at age 65. If she can earn 12% per year in an equity fund, calculate the amount of money she would have to invest in equal annual amounts and alternatively, in equal monthly amounts starting at the end of the current year or month respectively.

Looking at these numbers most people would think this is affordable..why then are most Americans not saving for their retirement? Discuss what you believe to be the real reason most 25 year olds (like Bella in the example above) are not saving for retirement. What do you think we can do to change this trend?

Read the two articles in the links below about affinity credit cards and schools. After reading this, do you think universities should enter into agreements to offer affinity credit cards to students? Why or why not? Discuss the ethics of these offerings.

http://www.insidehighered.com/news/2010/02/19/credit

http://www.rit.edu/news/utilities/pdf/2007/2007_09_06_BusinessWeek_the_dirty_secret_Manning.pdf