$******$ PlEASE USE EXCEL FORMULAS TO CALCULATE$***$You are able to save $$300$ a month $($$$3,600$ per year$)$

You can invest in a CD account with $4\%$ annual return or an equity fund with an expected annual return of $8\%.$

Assume that the expected annual return of the equity fund materializes, what will be your savings in $40$ years for both investment opportunities?

a$)$ If you make annual savings of $$3,400$ to the CD$.($assume annual compounding$)$ b$)$ If you make annual savings of $$3,400$ to the equity fund. $($assume annual compounding$)$ c$)$ If you make monthly savings of $$300$ to the CD$.($assume annual compounding$)$ d$)$ If you make monthly savings of $$300$ to the equity. $($assume annual compounding$)$ e$)$ If you make monthly savings of $$300$ to the CD$.($assume monthly compounding$)$ f$)$ If you make monthly savings of $$300$ to the equity. $($assume monthly compounding$)$

Monthly vs$.$ Yearly Savings

You are able to save $$300$ a month per year$)$

You can invest in a CD account with $4\%$ annual return or an equity fund with an

expected annual return of $8\%.$

Assume that the expected annual return of the equity fund materializes, what will be your

savings in $40$ years for both investment opportunities?

a$)$ If you make annual savings of $$3,400$ to the $CD.($assume annual compounding$)$

b$)$ If you make annual savings of $$3,400$ to the equity fund. $($assume annual compounding$)$

c$)$ If you make monthly savings of $$300$ to the CD$.($assume annual compounding$)$

d$)$ If you make monthly savings of $$300$ to the equity. $($assume annual compounding$)$

e$)$ If you make monthly savings of $$300$ to the CD$.($assume monthly compounding$)$

If$)$ If you make monthly savings of $$300$ to the equity. $($assume monthly compounding$)$