Problem 7.00 You annually invest $1,000 in an individual retirement account (IRA) starting at the age of 20 and make the contributions for 10 years. Your twin sister does the same starting at age 35 and makes the contributions for 30 years. Both of you can percent annonly on your investment. What amounts will you and your sister have at age 657 Use Appendix A and Appendix to answer the question. Round your answers to the nearest dollar Amount on your accounts Amount on your sister's account: 5 Who has the large amount at age 657 You have the larger amount Interest Factors for the Future Value of an Annuity of One Dollar Period 2% 1 2 3 4 5 18 1.000 2.010 3030 4,060 5.101 1.000 2020 3.050 4.122 5.204 33 1.000 2.030 3091 4.184 5.309 1000 2040 3.122 4.246 5.416 5% 1.000 2.050 2.152 4310 5 526 6% 1.000 2060 3.184 4.375 5.637 29 1.000 2.070 3.215 4.440 5.751 2% 1.000 2080 3.246 4506 5.867 1.000 2.090 3.278 4573 5985 10% 1.000 2.100 3310 4.641 6.105 1.000 2.120 3.374 4.770 6353 1000 2140 3440 4.921 6,610 1.000 2.160 3.505 5,067 6877 1.000 2.200 3,640 5368 7.442 6 7 8 6.152 7214 8.286 9.369 10.462 6308 7,434 8583 9.755 10.950 6.468 7662 8.892 10.199 11464 6.633 7.898 9.214 10 583 12.006 6.802 8.142 9.549 11.027 12.578 6975 8.394 9.897 11.491 13.181 7.153 8.654 10.260 11.978 13 816 7.336 8.923 10.637 12.488 14482 7.523 9.200 11.028 13.021 15.193 7.716 9.487 11436 13.579 15.937 8.115 10.089 12.300 14.776 17549 8.536 10730 13.233 16.085 19.237 8.978 11.413 14.240 17.518 2321 9930 12915 16.99 20.798 25.958 10 12 13 14 15 11.567 12.682 13.809 14 947 16.097 12.169 13.412 14.680 15.97 17.293 12.808 14.192 15.618 17.086 18.599 13486 15.026 16627 18.292 20.024 14.207 15 917 17.713 19599 21579 14.972 16.870 18.882 21.051 23.276 15.784 17.888 20.141 22550 25.129 16.645 18.972 21495 24215 27.152 17.560 20,141 22953 26.019 29 361 18.531 20.655 2138424138 24.523 28.029 27.975 32.392 31.772 37.280 23.064 27271 32,089 37581 43.842 25732 30 850 36.786 43.672 51659 32.150 29.580 18.496 59.195 72.035 to 17 17,258 1840 19.615 20.811 22.019 18.539 20.012 21412 22841 24.297 20.157 21.762 23.414 25.117 26 570 21825 23.69 25.645 27.671 29.778 23.657 25.840 28.132 30 539 33.066 25.673 28.213 30906 33.760 36.786 27.888 30 840 33.999 37.379 40.995 30.324 33.750 37.50 41406 45.762 33.003 36.974 41301 46.018 51.160 35.950 40,545 45.99 51.159 57.275 42.753 50.980 48.884 59.118 56.750 68.934 63.600 78969 72.052 91.025 601925 87442 71673 105.98 84.140 128.11 98 603 15:47 115.370 186 68 19 20 25 28.240 32.030 36459 41646 47.727 54.865 63.249 72106 84.701 9834713733 18187 249.210 61.08 5600S 66.419 79.058 94461 172.283 136 .308 164.494 241.333 35687031011818 30 34.785 40 558 47575 Interest Factors for the Future Value of One Dollar Time Period 103 15%. 20 year 1 2 3 4 5 18 34 4% 34 1.010 1.020 1030 1040 1050 1.060 1070 1.020 1.040 1.061 1.0821.102 1.124 11.45 1.030 1.061 1.093 1.125 1.158 1.191 1.225 1.041 1.082 1.126 1.170 1.216 1.262 1.311 1.051 1.104 1.159 1.217 1.276 1338 1.403 8% 1.080 1166 1260 1360 1469 99 1090 1.188 1295 1412 1.539 124 1120 1254 1.100 1.210 1331 1.464 1.611 1.140 1300 1.482 1.689 1.925 1405 16% 1.160 1.345 1.561 1811 2,100 1.150 1.322 1521 1.749 2011 1:180 1.392 1.643 1939 22288 1.200 1.440 1.728 2014 2488 1.574 1762 6 8 9 10 1.062 1.126 1.1941.265 1.340 1.419 1501 1,072 1.149 1230 1.316 1407 1.504 1606 1.083 1.172 1.267 1369 1477 1.594 1718 1.094 1.195 1.305 1.423 1.551 1689 1.838 1.105 1219 1344 1.480 629 1791 1967 1587 1,714 1.851 1.999 2.159 1677 1828 1993 2.172 2.367 1.772 1949 2.144 2358 2.594 1974 2211 2476 2773 3.106 2.195 2.502 2.853 3.252 3.707 2313 2.660 2059 3518 4046 2.436 2826 3.278 3.803 4.411 2.700 3.186 2.759 4.436 5.234 2.986 3583 4.300 5.160 6,192 11 12 13 14 IS 1.116 1.243 1384 1.539 1710 1898 2.105 1.127 1.268 1.426 601 796 2012 2.252 1.138 1294 1.469 1.665 1.886 2133 2410 1.149 1319 1.512 1732 1.980 2261 2.579 1.161 1346 1558 1.801 2079 2.397 2759 2332 2518 2720 2.937 3.172 2.580 2.813 3.066 3.342 3.642 2.853 3.138 3.452 3.797 4.177 3479 3.896 4363 4.887 5.474 4.226 4.818 5.492 6.261 7188 4,652 5.350 6.153 7076 8.137 5.117 5936 6.886 7988 9.266 6.176 7.287 8.599 10.147 11973 7430 8.916 10.699 12.839 15.407 16 17 18 19 20 1.173 1373 1.605 1.873 2.183 2540 2952 1.184 1.400 1653 1.948 2292 2.693 3.159 1.196 428 1.702 2.0262.407 2.854 3.380 1.200 1.457 754 2.107 2.527 3.026 3.617 1.220 1.486 1 806 2.191 2653 3.207 3.870 3.426 3.700 3.996 4.316 1661 3970 4.328 4,717 5.142 4.595 5.054 5.560 6.116 6728 6.130 8.137 9358 10.748 6.866 9.276 10.761 12.468 7.690 10.575 12.375 14463 8.613 12.056 14.222 16.727 9.646 13.745 16.367 19.461 14.129 16.572 19.673 23214 27393 18488 22.186 26.623 31948 38.337 5.604 25 1282 1641 2.094 2.666 3.386 4.292 5.427 6.848 8.622 10.835 12000 26.462 329194874 62.688 95 396 30 1848 1811 2.427 3.243 4322 5743 7.612 10.063 13.268 17449 29.960 50.950 66 212 85 850 143370 237.370