Question
Shaylea, age 22, just started working full-time and plans to deposit $5,800 annually into an IRA earning 10 percent interest compounded annually. How much would
Shaylea, age 22, just started working full-time and plans to deposit $5,800 annually into an IRA earning 10 percent interest compounded annually. How much would she have in 20 years, 30years, and 40 years? If she changed her investment period and instead invested $483.33 monthly, and the investment also changed to monthly compounding, how much would she have after the same three time periods? Comment on the differences over time.
With monthly investments and monthly compounding interest, after 20 years, Shaylea would have $?
With monthly investments and monthly compounding interest, after 30 years, Shaylea would have $?
With monthly investments and monthly compounding interest, after 40 years, Shaylea would have $?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started