Hal Thomas, a 30-year-old college graduate, wishes to retire at age 60.

To supplement other sources of retirement income, he can deposit $2000

each year into a tax-deferred individual retirement arrangement (IRA). The IRA will earn a return of 13%

Over the next 30 years.

.

A.If Hal makes annual end-of-year $ 2000 deposits into the IRA, how much will he have accumulated by the end of his 60^th year?

B.If Hal decides to wait until age 40 to begin making annual end-of-year $ 2000 deposits into the IRA, how much will he have accumulated by the end of his 60^th year?

C.Using your findings in parts a and b, discuss the impact of delaying making deposits into the IRA for 10 years (age 30 to age 40) on the amount accumulated by the end on Hals 60^th year.