Ok, I have found the answer, but cant find the correct formula. I have tried to break it down, but keep getting the wrong answer. I missing a step somewhere.
Financial analysts recommend investing 15% to 20% of your annual income in your retirement fund to reach a replacement rate of 70% of your income by age 65. This recommendation increases to almost 30% if you start investing at 45 years old. Mallori Rouse is 25 years old and has started investing $3,000 at the end of each year in her retirement account. How much will her account be worth in 20 years at 8% interest compounded annually? How much will it be worth in 30 years? What about at 40 years? How much will it be worth in 50 years? (Please use the following provided Table 13.1.) (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Answer is complete and correct. Future value after 20 years Future value after 30 years Future value after 40 years Future value after 50 years $ 137,286 $ 339,850 $ 777,171 $ 1,721,313 TABLE 13-1 Ordinary annuity table: Compound sum of an annuity of $1 Period 2% 3% 49 5% 6% 7% 8% 9% 10% 11% 12% 13% 3 5 1 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 1.0000 2 2.0200 2.0300 2.0400 20500 20600 20700 2.0800 2.0900 2.1000 2.1100 2.1200 2.1300 3 3.0604 3.0909 3.1216 3.1525 3.1836 3.2149 3.2464 3.2781 3.3100 3.3421 3.3744 3.4069 4 4.1216 4.1836 4.2465 4.3101 4.3746 4.4399 4.5061 4.5731 4.6410 4.7097 4.7793 4.8498 5 5.2040 5.3091 5.4163 5.5256 5.6371 5.7507 5.8666 5.9847 6.1051 62278 6:3528 6.4803 6 6.3081 6.4684 6.6330 6.8019 6.9753 7.1533 7.3359 7.5233 7.7156 7.9129 8.1152 8.3227 7 7.4343 7.6625 7.8983 8.1420 8.3938 8.6540 8.9228 9.2004 9.4872 9.7833 10.0890 10.4047 8 8.5829 8.8923 9.2142 9.5491 9.8975 10.2598 10.6366 11.0285 11.4359 11.8594 12.2997 12.7573 9 9.7546 10.1591 10.5828 11.0265 11.4913 11.9780 12.4876 13.0210 13,5795 14.1640 14.7757 15.4157 10 10.9497 11.4639 12.0061 12.5779 13.1808 13.8164 14.4866 15.1929 15.9374 16.7220 17.5487 18.4197 11 12.1687 12.8078 13.4863 14.2068 14.9716 15.7836 16.6455 17.5603 18.5312 19.5614 20.6546 21.8143 12 13.4120 14.1920 15.0258 15.9171 16.8699 17.8884 18.9771 20.1407 21.3843 22.7132 24.1331 25.6502 13 14.6803 15.6178 16.6268 17.7129 18.8821 20.1406 21.4953 22.9534 24.5227 26.2116 28.0291 29.9847 14 15.9739 17.0863 18.2919 19.5986 210 150 22.5505 24.2149 26.0192 27.9750 30.0949 32.3926 34.8827 15 17.2934 18.5989 20.0236 21.5785 23.2759 25.1290 27.1521 29.3609 31.7725 34.4054 37.2797 40.4174 16 18.6392 20.1569 21.8245 23.6574 25.6725 27.8880 30.3243 33.0034 35.9497 39.1899 42.7533 46.67 17 17 20.0120 21.7616 23.6975 25.8403 28.2128 30.8402 33.7503 36.9737 40.5447 44.5008 48.8837 53.7390 18 21.4122 23.4144 25.6454 28.1323 30.9056 33.9990 37.4503 41.3014 45.5992 50.3959 55.7497 61.7251 19 22.8405 25.1169 27 67 12 30.5389 33.7599 37.3789 41.4463 46.0185 51.1591 56.9395 63.4397 70.7494 20 24.2973 26,8704 29.7781 33.0659 36.7855 40.9954 45.7620 51.1602 572750 64.2028 72.0524 80.9468 25 32.0302 36.4593 41.6459 47.7270 54.8644 63.2489 73.1060 84.7010 98.3471 114.4133 133.3338 155.6194 30 40.5679 47.5754 56.084966.4386 79.0580 94.4606 1132833 136.3077 164.4941 199,0209 241.3327 293.1989 40 60.4017 75.4012 95.0254 120.7993 1547616 199.6346 259,0569 337.8831 442.5928 581.8260 767 0913 1013.7030 50 84.5790 1127968 152.6669 209.3470 290.3351 406.5277 5737711 815.0853 1163.9090 1668.7710 2400.0 180 3459.50 10 Note: This is only a sampling of tables avallable. The Business Math Handbook shows tables from 1% to 15%
