Suppose that starting on the day of your 25th birthday you begin making deposits of $975 into a separate savings account. The first deposit occurs on your 25th birthday and you will continue to make deposits every 2 months up to and including your 30th birthday. The savings account offers a guaranteed rate of return of 6% per annum compounded monthly. b. What is the new required annual rate of return you need to earn in your locked-in investment account to be able to afford your dream car?

Suppose that starting on the day of your 25 th birthday you begin making deposits of $975 into a separate savings account. The first deposit occurs on your 25 th birthday and you will continue to make deposits every 2 months up to and including your 30 th birthday. The savings account offers a guaranteed rate of return of 6% per annum compounded monthly. b. What is the new required annual rate of return you need to earn in your locked-in investment account to be able to afford your dream car