You just turned 20 years old and want to retire when you turn 65 . You plan to put $3,200 every year into a ROTH IRA, a retirement account from which you can withdraw money after retirement without having to pay any taxes. You expect to earn a return of 7% on your investments every year. Part 1 Attempt 5/5 for 0 pts. How much money can you expect to have at age 65 if you make your first annual deposit now and your last one on the day you turn 64 ? Incorrect Since the first payment occurs right now rather than one period from now, this is an annuity due rather than an ordinary annuity. We have to find the future value of an annuity due over 45 years. The future value of an annuity due is: FVAdue=PMT[r(1+r)N1](1+r)=3,200[0.071.07451]1.07=978,406 If you're using a financial calculator, you need to switch it from End Mode to Begin Mode. FVAdue=PMT[r1](1+r)=3,200[0.071.07451]r1.07=978,406 If you're using a financial calculator, you need to switch it from End Mode to Begin Mode. Using Excel (do not enter the thousands separators): =FV( rate, nper, pmt, pv, type) =FV(0.07,45,3,2J0,0,1)=978,406 Part 2 1. Attempt 1/5 for 10 pts. How much money can you expect to have at age 65 if you make your first deposit 10 years from now (at age 30 ) and your last one on the day you turn 64