Question
You will place $5,000 into a savings account that pays 1% compounded yearly. Calculate the compounded yearly i. You will place $5,000 into a mutual
You will place $5,000 into a savings account that pays 1% compounded yearly. Calculate the compounded yearly i.\ You will place $5,000 into a mutual fund for stocks. Calculate the compounded yearly interest rates beginning with 10 years at 11%, the next 10 years at 14% and the final 10 years at 8%. You will place $5,000 into bonds. Calculate the compounded yearly interest rates beginning at 10 years at 2.4%, the next 10 years at 2.1% and the final 10 years at 3.1%. How much will you have after 30 years in each account? Based on your personal risk tolerance, which of these would you prefer and why?
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