Kevin Cigarettes acquired a bad habit of smoking in high school. Kevin spends approximately $75 a month or $900 a year on cigarettes. He is not concerned with health issues, but he is keenly aware of financial issues. Show Kevin how much he would have at retirement in 20 years if he invested $900 a year at 5% instead of smoking. (For calculation purposes, use 5 decimal places as displayed in the factor table provided. Round answer to 2 decimal places, e.g. 52.75.) Click here to view the factor table. Amount LA $

Kevin Cigarettes acquired a bad habit of smoking in high school. Kevin spends approximately $75 a month or $900 a year on cigarettes. He is not concerned with health issues, but he is keenly aware of financial issues. Show Kevin how much he would have at retirement in 20 years if he invested $900 a year at 5% instead of smoking. (For calculation purposes, use 5 decimal places as displayed in the factor table provided. Round answer to 2 decimal places, e.g. 52.75.) Click here to view the factor table: Amount $ TABLE 1 Future Value of 1 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \\ \hline \multicolumn{11}{|l|}{ (n) } \\ \hline 0 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 \\ \hline 1 & 1.04000 & 1.05000 & 1.06000 & 1.07000 & 1.08000 & 1.09000 & 1.10000 & 1.11000 & 1.12000 & 1.15000 \\ \hline 2 & 1.08160 & 1.10250 & 1.12360 & 1.14490 & 1.16640 & 1.18810 & 1.21000 & 1.23210 & 1.25440 & 32250 \\ \hline 3 & 1.12486 & 1.15763 & 1.19102 & 1.22504 & 1.25971 & 1.29503 & 1.33100 & 1.36763 & & \\ \hline 4 & 1.16986 & 1.21551 & 1.2 & 1. & 6049 & 1.41158 & 1.46410 & 1.51807 & 1.57352 & .74901 \\ \hline 5 & 1.21665 & 1.27628 & 1.3 & 1. & 3 & 52 & 1.61051 & 1.68506 & 1.76234 & 2.01136 \\ \hline 6 & 1.26532 & 1.34010 & 1.41852 & 1.50073 & 1.58687 & 1.67710 & 1.77156 & 1.87041 & 1.97382 & 231306 \\ \hline 7 & 1.31593 & 1.40 & & 1.605 & & & & & & \\ \hline 8 & 1.36857 & 1.47746 & 1.59385 & 1.71819 & 93 & 56 & 2.14359 & 2.3 & & 5902 \\ \hline 9 & 1.42331 & 1.55133 & 1.68948 & 1.83846 & 1.99900 & 2.17189 & 2.35795 & 2.55803 & & 3.51788 \\ \hline 10 & 1.48024 & 1.62889 & 1.79085 & 1.96715 & & 2.36736 & 2.5 & 2.83942 & 3.10585 & 4.04556 \\ \hline 11 & 1.53945 & 1.71034 & 1.89830 & 2,10485 & 2. & 2.58 & 2.8 & 3.1 & & 4.65239 \\ \hline 12 & 103 & 86 & & & & 2.81 & & & & \\ \hline 13 & 1.66507 & 1.88565 & 2.13293 & 2.40985 & 2.71962 & 3.06581 & 227 & 3.8 & 49 & 6.15279 \\ \hline 14 & 1.73168 & 1.97993 & 2.26090 & 2.57853 & 2.93719 & 3.34173 & 3.79750 & 4.31044 & 4.88711 & 7.07571 \\ \hline 15 & 1.80094 & 2.07893 & 2.39656 & 2.75903 & 3.17217 & 3.64248 & 4.17725 & 4.78459 & 5.47357 & 8.13706 \\ \hline 16 & 1.87298 & 2.18287 & 2.54035 & 2.95216 & & 3,97031 & 4.59497 & 5.31089 & 6.13039 & 9.35762 \\ \hline 17 & 1.94790 & 2.29202 & 7 & & & 4.32763 & 5.05447 & 5.89509 & 6.86604 & 10.76126 \\ \hline 18 & 2.02582 & 2.40662 & 2.85434 & 3.37993 & 3.99602 & 4.71712 & 5.55992 & 6.54355 & 7.68997 & 12.37545 \\ \hline 19 & 2.10685 & 2.52695 & 3.02560 & 3.61653 & 4.31570 & 5.14166 & 6.11591 & 7.26334 & 8.61276 & 14.23177 \\ \hline 20 & 2.19112 & 2.65330 & 3.20714 & 3,86968 & 4.66096 & 5.60441 & 6.72750 & 8.06231 & 9.64629 & 16.36654 \\ \hline \end{tabular} TABLE 2 Future Value of an Annuity of 1 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{11}{|l|}{ (n) } \\ \hline Payme & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 11% & 12% & 15% \\ \hline 1 & 1.00000 & 1.00000 & 1.00000 & 1,0000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 \\ \hline 2 & & & & 2.0700 & 2.08000 & 2.09000 & 2.10000 & 2.11000 & & \\ \hline 3 & 3.12160 & 3.15250 & 3.18360 & 3.2149 & 3.24640 & 3.27810 & 3.31000 & 3.34210 & & \\ \hline 4 & 4.24646 & 4.31013 & 4.37 & 4.43 & 4.50611 & & & & & \\ \hline 5 & 5,41632 & & 5.63709 & 5.7507 & 5.86660 & 5.98471 & 6.10510 & 6.22780 & 6.35285 & \\ \hline 6 & 6.63298 & 6.80191 & 6.97532 & 7.1533 & 7.33592 & 7.52334 & 7.71561 & 7,91286 & 8.11519 & 8.75 \\ \hline 7 & 7.89829 & & & 8.6540 & 8.9 & & & & & \\ \hline 8 & 9.21423 & 9.54911 & 9.89 & 10.2598 & 10.6 & & & & & \\ \hline 9 & 10.58280 & 11.02656 & 11.49 & 11.9780 & 12. & 04 & & & 14. & \\ \hline 10 & & & & 13 & 14.48656 & 15.19293 & 15.93743 & 16.72201 & & \\ \hline 11 & 13,48635 & 14.20 & 14.9 & 15 & 16.64549 & 17.56029 & 18.53117 & 19.56143 & 20. & \\ \hline 12 & 15.02581 & 15.91713 & 16.86994 & & 18.97 & 72 & & & & \\ \hline 13 & 16.62684 & 17.71298 & 18.88214 & 20 & 21.49 & 22. & 24 & 26.21 & 28. & \\ \hline 14 & 18.29191 & 19.59863 & 21.015 & 22.5505 & 24.21492 & 26.01919 & 27.97498 & 30.09492 & 32.39 & \\ \hline 15 & 20.02359 & 21.57856 & 23.27597 & 25.1290 & 27.15211 & 29.36092 & 31.77248 & 34.40 & 37.27972 & 47.58041 \\ \hline 16 & 21.82453 & 23.65749 & 25.67253 & & 30.32428 & 33.00340 & 35.94973 & 39.18995 & 42.75328 & 55.71747 \\ \hline 17 & 23.69751 & 25.8 & & & 33.75023 & 36.97351 & 40.54470 & 44.500 & 48 & 65 \\ \hline 18 & 25.64541 & 28.1 & & & 37.45024 & 41.30134 & 45.59917 & 50.395 & 55. & \\ \hline 19 & 27.67123 & 30.53900 & & 37.3790 & 41.44626 & 46.01846 & 51.15909 & & & \\ \hline 20 & 77808 & 33.06595 & 36.78559 & 40.9955 & 45,76196 & 51.16012 & 57.27500 & 64.20283 & 72.05244 & 102,44358 \\ \hline \end{tabular} TABLE 3 Present Value of 1 TABLE 4 Present Value of an Annuity of 1 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \\ \hline Pay & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 11% & 12% & 15% \\ \hline 1 & .96154 & .95238 & .94340 & 0.93458 & 92593 & .91743 & 90909 & .90090 & .89286 & .86957 \\ \hline 2 & 1.88609 & 1.85941 & & 1.80802 & 1.78326 & 1.75911 & 1.73554 & 1.71252 & 1.69005 & 1.62571 \\ \hline 3 & 2.77509 & 2.72325 & 2.67301 & 2.62432 & 2.57710 & 2.53130 & 2.48685 & 2.44371 & 2.40183 & 2.28323 \\ \hline 4 & 3.62990 & 3.54595 & 3.46511 & 3.38721 & 3.31213 & 3.23972 & 3.16986 & 3.10245 & 3.03735 & 2.85498 \\ \hline 5 & 4.45182 & 4.32948 & 4.21236 & 4.10020 & 3.99271 & 3.88965 & 3.79079 & 3.69590 & 3.60478 & 335216 \\ \hline 6 & 5.24214 & 5.07569 & 4.91732 & 4.76654 & 4.62288 & 4.485 & 4.35526 & 4.23054 & 4.11141 & 3.78448 \\ \hline 7 & 6,00205 & 5.78637 & 5.58238 & 5.38929 & 5.20637 & 5.03295 & 4.86842 & 4.71220 & 4.5 & 4.16042 \\ \hline 8 & 6.73274 & 6.46321 & 6.20979 & 5.97130 & 5.74664 & 5.53482 & 5.33493 & 5.14612 & 4.96764 & 4.48732 \\ \hline 9 & 7.43533 & 7.10782 & 6.80169 & 6.51523 & 6.24689 & 5.99525 & 5.75902 & 5.53705 & 5.32825 & 4.77158 \\ \hline 10 & 8.11090 & 7.72173 & 7,36009 & 7.02358 & 6.71008 & 6.41766 & 6.14457 & 5.88923 & 5.65022 & 5.01877 \\ \hline 11 & 8.76048 & 8.30641 & 7.88687 & 7.49867 & 7.13896 & 6.80519 & 6.49506 & 6.20652 & 5.93770 & 5.23371 \\ \hline 12 & 9.38507 & 8.86325 & 838384 & 7.94269 & 7.53608 & 7.16073 & 6.81 & 6.49 & & 5.42062 \\ \hline 13 & 9.98565 & 9.39357 & 8.85268 & 8.35765 & 7.90378 & 7.48690 & 7.10336 & 6.74987 & 6.42355 & 5.58315 \\ \hline 14 & 10.56312 & 9.89864 & 9.29498 & 8.74547 & 8.24424 & 7.78615 & 7.36669 & 6.98187 & 6.62817 & 5,72448 \\ \hline 15 & 11.11839 & 10.37966 & 9.71225 & 9.10791 & 8.55948 & 8.06069 & 7.60608 & 7.19087 & 6.81086 & 5.84737 \\ \hline 16 & 11.65230 & 10.83777 & 10.10590 & 9.44665 & 8.85137 & 8.31256 & 7.82371 & 7.37 & 6.97 & 424 \\ \hline 17 & & 11.27407 & 10.4 & & & & & & & 716 \\ \hline 18 & 12.65930 & 11.68959 & 10.82760 & 10.05909 & 937189 & 8.75563 & 8.20141 & & & 6.12797 \\ \hline 19 & 13.13394 & 12.08532 & 11.15812 & 10.33560 & 9.60360 & 8.95012 & 8.36 & 7.8 & & 6.19823 \\ \hline 20 & 13.59033 & 12.46221 & 11.46992 & 10.59401 & 9.81815 & 9.12855 & 8.51356 & 7.96333 & 7.46944 & 6.25933 \\ \hline \end{tabular} Kevin Cigarettes acquired a bad habit of smoking in high school. Kevin spends approximately $75 a month or $900 a year on cigarettes. He is not concerned with health issues, but he is keenly aware of financial issues. Show Kevin how much he would have at retirement in 20 years if he invested $900 a year at 5% instead of smoking. (For calculation purposes, use 5 decimal places as displayed in the factor table provided. Round answer to 2 decimal places, e.g. 52.75.) Click here to view the factor table: Amount $ TABLE 1 Future Value of 1 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \\ \hline \multicolumn{11}{|l|}{ (n) } \\ \hline 0 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 \\ \hline 1 & 1.04000 & 1.05000 & 1.06000 & 1.07000 & 1.08000 & 1.09000 & 1.10000 & 1.11000 & 1.12000 & 1.15000 \\ \hline 2 & 1.08160 & 1.10250 & 1.12360 & 1.14490 & 1.16640 & 1.18810 & 1.21000 & 1.23210 & 1.25440 & 32250 \\ \hline 3 & 1.12486 & 1.15763 & 1.19102 & 1.22504 & 1.25971 & 1.29503 & 1.33100 & 1.36763 & & \\ \hline 4 & 1.16986 & 1.21551 & 1.2 & 1. & 6049 & 1.41158 & 1.46410 & 1.51807 & 1.57352 & .74901 \\ \hline 5 & 1.21665 & 1.27628 & 1.3 & 1. & 3 & 52 & 1.61051 & 1.68506 & 1.76234 & 2.01136 \\ \hline 6 & 1.26532 & 1.34010 & 1.41852 & 1.50073 & 1.58687 & 1.67710 & 1.77156 & 1.87041 & 1.97382 & 231306 \\ \hline 7 & 1.31593 & 1.40 & & 1.605 & & & & & & \\ \hline 8 & 1.36857 & 1.47746 & 1.59385 & 1.71819 & 93 & 56 & 2.14359 & 2.3 & & 5902 \\ \hline 9 & 1.42331 & 1.55133 & 1.68948 & 1.83846 & 1.99900 & 2.17189 & 2.35795 & 2.55803 & & 3.51788 \\ \hline 10 & 1.48024 & 1.62889 & 1.79085 & 1.96715 & & 2.36736 & 2.5 & 2.83942 & 3.10585 & 4.04556 \\ \hline 11 & 1.53945 & 1.71034 & 1.89830 & 2,10485 & 2. & 2.58 & 2.8 & 3.1 & & 4.65239 \\ \hline 12 & 103 & 86 & & & & 2.81 & & & & \\ \hline 13 & 1.66507 & 1.88565 & 2.13293 & 2.40985 & 2.71962 & 3.06581 & 227 & 3.8 & 49 & 6.15279 \\ \hline 14 & 1.73168 & 1.97993 & 2.26090 & 2.57853 & 2.93719 & 3.34173 & 3.79750 & 4.31044 & 4.88711 & 7.07571 \\ \hline 15 & 1.80094 & 2.07893 & 2.39656 & 2.75903 & 3.17217 & 3.64248 & 4.17725 & 4.78459 & 5.47357 & 8.13706 \\ \hline 16 & 1.87298 & 2.18287 & 2.54035 & 2.95216 & & 3,97031 & 4.59497 & 5.31089 & 6.13039 & 9.35762 \\ \hline 17 & 1.94790 & 2.29202 & 7 & & & 4.32763 & 5.05447 & 5.89509 & 6.86604 & 10.76126 \\ \hline 18 & 2.02582 & 2.40662 & 2.85434 & 3.37993 & 3.99602 & 4.71712 & 5.55992 & 6.54355 & 7.68997 & 12.37545 \\ \hline 19 & 2.10685 & 2.52695 & 3.02560 & 3.61653 & 4.31570 & 5.14166 & 6.11591 & 7.26334 & 8.61276 & 14.23177 \\ \hline 20 & 2.19112 & 2.65330 & 3.20714 & 3,86968 & 4.66096 & 5.60441 & 6.72750 & 8.06231 & 9.64629 & 16.36654 \\ \hline \end{tabular} TABLE 2 Future Value of an Annuity of 1 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \multicolumn{11}{|l|}{ (n) } \\ \hline Payme & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 11% & 12% & 15% \\ \hline 1 & 1.00000 & 1.00000 & 1.00000 & 1,0000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 & 1.00000 \\ \hline 2 & & & & 2.0700 & 2.08000 & 2.09000 & 2.10000 & 2.11000 & & \\ \hline 3 & 3.12160 & 3.15250 & 3.18360 & 3.2149 & 3.24640 & 3.27810 & 3.31000 & 3.34210 & & \\ \hline 4 & 4.24646 & 4.31013 & 4.37 & 4.43 & 4.50611 & & & & & \\ \hline 5 & 5,41632 & & 5.63709 & 5.7507 & 5.86660 & 5.98471 & 6.10510 & 6.22780 & 6.35285 & \\ \hline 6 & 6.63298 & 6.80191 & 6.97532 & 7.1533 & 7.33592 & 7.52334 & 7.71561 & 7,91286 & 8.11519 & 8.75 \\ \hline 7 & 7.89829 & & & 8.6540 & 8.9 & & & & & \\ \hline 8 & 9.21423 & 9.54911 & 9.89 & 10.2598 & 10.6 & & & & & \\ \hline 9 & 10.58280 & 11.02656 & 11.49 & 11.9780 & 12. & 04 & & & 14. & \\ \hline 10 & & & & 13 & 14.48656 & 15.19293 & 15.93743 & 16.72201 & & \\ \hline 11 & 13,48635 & 14.20 & 14.9 & 15 & 16.64549 & 17.56029 & 18.53117 & 19.56143 & 20. & \\ \hline 12 & 15.02581 & 15.91713 & 16.86994 & & 18.97 & 72 & & & & \\ \hline 13 & 16.62684 & 17.71298 & 18.88214 & 20 & 21.49 & 22. & 24 & 26.21 & 28. & \\ \hline 14 & 18.29191 & 19.59863 & 21.015 & 22.5505 & 24.21492 & 26.01919 & 27.97498 & 30.09492 & 32.39 & \\ \hline 15 & 20.02359 & 21.57856 & 23.27597 & 25.1290 & 27.15211 & 29.36092 & 31.77248 & 34.40 & 37.27972 & 47.58041 \\ \hline 16 & 21.82453 & 23.65749 & 25.67253 & & 30.32428 & 33.00340 & 35.94973 & 39.18995 & 42.75328 & 55.71747 \\ \hline 17 & 23.69751 & 25.8 & & & 33.75023 & 36.97351 & 40.54470 & 44.500 & 48 & 65 \\ \hline 18 & 25.64541 & 28.1 & & & 37.45024 & 41.30134 & 45.59917 & 50.395 & 55. & \\ \hline 19 & 27.67123 & 30.53900 & & 37.3790 & 41.44626 & 46.01846 & 51.15909 & & & \\ \hline 20 & 77808 & 33.06595 & 36.78559 & 40.9955 & 45,76196 & 51.16012 & 57.27500 & 64.20283 & 72.05244 & 102,44358 \\ \hline \end{tabular} TABLE 3 Present Value of 1 TABLE 4 Present Value of an Annuity of 1 \begin{tabular}{|c|c|c|c|c|c|c|c|c|c|c|} \hline \\ \hline Pay & 4% & 5% & 6% & 7% & 8% & 9% & 10% & 11% & 12% & 15% \\ \hline 1 & .96154 & .95238 & .94340 & 0.93458 & 92593 & .91743 & 90909 & .90090 & .89286 & .86957 \\ \hline 2 & 1.88609 & 1.85941 & & 1.80802 & 1.78326 & 1.75911 & 1.73554 & 1.71252 & 1.69005 & 1.62571 \\ \hline 3 & 2.77509 & 2.72325 & 2.67301 & 2.62432 & 2.57710 & 2.53130 & 2.48685 & 2.44371 & 2.40183 & 2.28323 \\ \hline 4 & 3.62990 & 3.54595 & 3.46511 & 3.38721 & 3.31213 & 3.23972 & 3.16986 & 3.10245 & 3.03735 & 2.85498 \\ \hline 5 & 4.45182 & 4.32948 & 4.21236 & 4.10020 & 3.99271 & 3.88965 & 3.79079 & 3.69590 & 3.60478 & 335216 \\ \hline 6 & 5.24214 & 5.07569 & 4.91732 & 4.76654 & 4.62288 & 4.485 & 4.35526 & 4.23054 & 4.11141 & 3.78448 \\ \hline 7 & 6,00205 & 5.78637 & 5.58238 & 5.38929 & 5.20637 & 5.03295 & 4.86842 & 4.71220 & 4.5 & 4.16042 \\ \hline 8 & 6.73274 & 6.46321 & 6.20979 & 5.97130 & 5.74664 & 5.53482 & 5.33493 & 5.14612 & 4.96764 & 4.48732 \\ \hline 9 & 7.43533 & 7.10782 & 6.80169 & 6.51523 & 6.24689 & 5.99525 & 5.75902 & 5.53705 & 5.32825 & 4.77158 \\ \hline 10 & 8.11090 & 7.72173 & 7,36009 & 7.02358 & 6.71008 & 6.41766 & 6.14457 & 5.88923 & 5.65022 & 5.01877 \\ \hline 11 & 8.76048 & 8.30641 & 7.88687 & 7.49867 & 7.13896 & 6.80519 & 6.49506 & 6.20652 & 5.93770 & 5.23371 \\ \hline 12 & 9.38507 & 8.86325 & 838384 & 7.94269 & 7.53608 & 7.16073 & 6.81 & 6.49 & & 5.42062 \\ \hline 13 & 9.98565 & 9.39357 & 8.85268 & 8.35765 & 7.90378 & 7.48690 & 7.10336 & 6.74987 & 6.42355 & 5.58315 \\ \hline 14 & 10.56312 & 9.89864 & 9.29498 & 8.74547 & 8.24424 & 7.78615 & 7.36669 & 6.98187 & 6.62817 & 5,72448 \\ \hline 15 & 11.11839 & 10.37966 & 9.71225 & 9.10791 & 8.55948 & 8.06069 & 7.60608 & 7.19087 & 6.81086 & 5.84737 \\ \hline 16 & 11.65230 & 10.83777 & 10.10590 & 9.44665 & 8.85137 & 8.31256 & 7.82371 & 7.37 & 6.97 & 424 \\ \hline 17 & & 11.27407 & 10.4 & & & & & & & 716 \\ \hline 18 & 12.65930 & 11.68959 & 10.82760 & 10.05909 & 937189 & 8.75563 & 8.20141 & & & 6.12797 \\ \hline 19 & 13.13394 & 12.08532 & 11.15812 & 10.33560 & 9.60360 & 8.95012 & 8.36 & 7.8 & & 6.19823 \\ \hline 20 & 13.59033 & 12.46221 & 11.46992 & 10.59401 & 9.81815 & 9.12855 & 8.51356 & 7.96333 & 7.46944 & 6.25933 \\ \hline \end{tabular}