7. Kate deposits $9,900 each yearinto her retirement account. If these funds have an average eaming of 11 percent over the 40 years until her retirement, what will be the value of her retirement account?

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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6. If you desire to have $80,000 for a down payment for a house in 7 years, what amount would you
need to deposit each year for these 7 years? Assume that your money will earn 10 percent per year.
7. Kate deposits $9,900 each yearinto her retirement account. If these funds have an average earning
of 11 percent over the 40 years until her retirement, what will be the value of her retirement
account?
Transcribed Image Text:6. If you desire to have $80,000 for a down payment for a house in 7 years, what amount would you need to deposit each year for these 7 years? Assume that your money will earn 10 percent per year. 7. Kate deposits $9,900 each yearinto her retirement account. If these funds have an average earning of 11 percent over the 40 years until her retirement, what will be the value of her retirement account?
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