Question
On your 24th birthday, you start an investment account for retirement. You put $600 in the account on your 24th birthday and $600 in the
On your 24th birthday, you start an investment account for retirement. You put $600 in the account on your 24th birthday and $600 in the account on all your future birthdays until you turn 65 years old. On your 65th birthday, you retire. You have invested a total of $25,200 ($600*42years). How much is in your account at retirement if the investment account pays:
a. i = 5% compounded yearly Amount in Account = $ _______________
b. i = 10% compounded yearly Amount in Account = $ _______________
c. I = 12.5% compounded yearly Amount in Account = $ _______________
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