Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Today you deposit X dollars to your savings account and make no additional deposits. How long will it take to double your savings if you

Today you deposit X dollars to your savings account and make no additional deposits. How long will it take to double your savings if you earn 5 percent interest, compounded annually? A. 14.21 years B. 16.04 years C. 18.67 years D. 19.42 years E. 19.60 years

Janice plans to save $90 a month, starting her monthly deposits today, for 20 years. Kate plans to save $100 a month for 20 years, starting her monthly deposits one month from today. Both Janice and Kate expect to earn an average annual return of 7.5 percent, compounded monthly on their savings. At the end of the 20 years, Kate will have approximately ________ than Janice. A. $5,537.31 more B. $5,883.39 less C. $5,225.83 more D. $5,883.39 more E. $5,225.83 less

Step by Step Solution

There are 3 Steps involved in it

Step: 1

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

blur-text-image_step_2

Step: 3

blur-text-image_step3

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

More Books

Students also viewed these Accounting questions

Question

c. What is the persons contact information?

Answered: 1 week ago