Creating a retirement fundPersonal Finance ProblemTo supplement your retirement, you estimate that you need to accumulate

$230,000

exactly

40

years from today. You plan to make equal, end-of-year deposits into an account paying

7%

annual interest.a.How large must the annual deposits be to create the

$230,000

fund by the end of

40

years?b.If you can afford to deposit only

$960

per year into the account, how much will you have accumulated in

40

years?

a.The annual deposits to create the

$230,000

fund by the end of

40

years should be

$nothing.

(Round to the nearest cent.)b. If you can afford to deposit only

$960

per year into the account, by the end of

40

years you will have

$nothing.

(Round to the nearest cent.)