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Bob makes his first $1,100$1,100 deposit into an IRA earning 7.57.5% compounded annually on the day he turns 24 and his last $1,100$1,100 deposit on
Bob makes his first $1,100$1,100 deposit into an IRA earning 7.57.5% compounded annually on the day he turns 24 and his last $1,100$1,100 deposit on the day he turns 46 (23 equal deposits in all.) With no additional deposits, the money in the IRA continues to earn 7.57.5% interest compounded annually until Bob retires on his 65th birthday. How much is the IRA worth when Bob retires?
Value of the IRA on Bob's 65th birthday:
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