Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Apr 14, 2022

Today is your 21* birthday, and you are opening up an investment account. You plan to contribute $2,000 per year on your birthday. The

Today is your 21* birthday, and you are opening up an investment account. You plan to contribute $2,000 per year on your birthday. The first contribution will be made today, and the 45", and final, contribution will be made on your 65h birthday. If you earn 10% a year on your investments, how much money will you have in the account on your 65th birthday, immediately after making your final contribution?

Step by Step Solution

★★★★★

3.46 Rating (149 Votes )

There are 3 Steps involved in it

Step: 1

First Contribution 2000 on 21st birthday Final Contribution 2000 on 65th bi... blur-text-image

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

Recommended Textbook for

Microeconomics

Authors: Austan Goolsbee, Steven Levitt, Chad Syverson

1st Edition

978-1464146978, 1464146977

More Books

Students also viewed these Accounting questions

Question

★★★★★

How much money will you have in your bank account in 5 years if it pays 4% annually and you start with the following amounts. a. $5,000. b. $10,000. c. $15,000. d. $20,000.

Answered: 1 week ago

Question

★★★★★

How much money would you have to deposit for 5 consecutive years starting one year from now if you want to be able to withdraw P50,000 ten years from now? Assume the interest is 14% compounded...

Answered: 1 week ago

Question

★★★★★

How much money would you have at the end of 10 years if you made deposits of $4,000 at the end of every three months into an investment that accumulated at 9 compounded quarterly

Answered: 1 week ago

Question

★★★★★

Chambers Corporation purchased a piece of equipment for $36,000. It estimated a 6-year life and $6,000 salvage value. Thus, straight-line depreciation was $5,000 per year [($36,000 $6,000) 6]. At...

Answered: 1 week ago

Question

★★★★★

A bank has the following balance sheet Cash 3 Retail Deposits (stable) 25 Treasury Bonds (>1 year) 5 Retail Deposits (less stable) 15 Corporate Bonds Rated A 4 Wholesale Deposits 44 Residential...

Answered: 1 week ago

Question

★★★★★

Refer to Example 101. What is the DEAR for this bond if is 15 bp? LO.1

Answered: 1 week ago

Question

★★★★★

1.51 Election Results The 2006 election was EX0151 somewhat an interesting race, in which the Conservative Party of Canada secured the largest number of House of Commons seats with respect to others....

Answered: 1 week ago

Question

★★★★★

Answer each of the following questions related to various short-term liabilities: a. Fuhgettaboudit Ltd. operates an Italian restaurant and sells gift cards. At October 31, 2020, Fuhgettaboudit had...

Answered: 1 week ago

Question

★★★★★

The function EvenCount counts the number of even integers in a list of integers. Incomplete code for this function is as follows: def EvenCount ( L ) : count = 0 for x in L: #FIX ME# #FIX ME# return...

Answered: 1 week ago

Question

★★★★★

Pool Corporation, Inc., sells swimming pool supplies and equipment. It is a publicly traded corporation that trades on the NASDAQ exchange. The majority of Pools customers are small, family-owned...

Answered: 1 week ago

Question

★★★★★

Shelly is buying a $350,000 home and will pay the mortgage monthly for 30 years. She has a good credit score and has qualified for a 5.125% loan interest. How much will she be paying monthly for the...

Answered: 1 week ago

Question

★★★★★

Songwriter Dave Carroll wasn't the first person abused by an airline's customer service. But he was the first to show how one person, armed with creativity, some friends, and the Internet, could turn...

Answered: 1 week ago

Question

★★★★★

Suppose an average of 1 0 0 service calls arrive during a business day, service call arrivals are independent events, calls never occur simultaneously, and the average rate is constant throughout the...

Answered: 1 week ago

Question

★★★★★

Maju Jaya Enterprise has 20 direct workers who work 26 days a month. The production rate is 30 minutes per unit with eight (8) working hours per day. The regular labor cost is RM10 per hour....

Answered: 1 week ago

Question

★★★★★

Incoming goods flow into US at the rate of $423 billion every year. Imagine the supply chain to be a long pipeline where goods are put in at one end, and they come out at the other end (at the...

Answered: 1 week ago

Question

★★★★★

A grocery store wants you to help solve the following problem: They want to get a sense of how many people are currently following the recommended safety practices that is associated with the...

Answered: 1 week ago

Question

★★★★★

Question 2 Peter Parker is a very good man. He is a man of dignity to be more specific. He often comes to know about misinformation. But he never shares any information without verifying it. If its...

Answered: 1 week ago

Question

★★★★★

Access the Federation of Tax Administrators Internet site at www. taxadmin.org/state-tax-forms and indicate the titles of the following state tax forms and publications: a. Minnesota Form M-100 b....

Answered: 1 week ago

Question

★★★★★

Suppose that the market demand for rose hips is given by P = 100 - Q. There are two firms, A and B, producing rose hips, each at a constant marginal and average total cost of $5. Fill in the table...

Answered: 1 week ago

Question

★★★★★

The graph below depicts the market for aloe vera gel. The left-hand panel depicts market demand and industry supply; the right-hand panel depicts the long-run cost curves for a representative firm in...

Answered: 1 week ago

Question

★★★★★

Harry is dating Sally. Because he is devastated at the thought of being dumped, he spends considerable resources making himself attractive to her: expensive haircuts, ballroom dancing classes, a gym...

Answered: 1 week ago

Question

★★★★★

9.15. A high school student analyzes whether a relationship exists between x = number of books read for pleasure in the previous year and y = daily average number of hours spent watching television....

Answered: 1 week ago

Question

★★★★★

9.12. For nations listed in the Human Development Report, the correlation with percent ofpeople using the Internet is 0.888 for per capita gross domestic product (GDP, a summary description of a...

Answered: 1 week ago

Question

★★★★★

9.10. In the 2000 Presidential election in the U.S., the Democratic candidate was A1 Gore and the Republican candidate was George W. Bush. In Palm Beach County, Florida, initial election returns...

Answered: 1 week ago

Previous Question Next Question