Many retirement funds charge an administrative fee equal to 0.25% on managed assets. Suppose that Alexx and Spenser each invest $7 comma 000 in the same stock this year. Alexx invests directly and earns 7% a year. Spenser uses a retirement fund and earns 6.75% Part 2 If Alexx and Spenser leave their investments in place for 30 years, with annual compounding of the interest, how much more will Alexx have than Spenser at the end of the 30-year period? Part 3 Alexx will have $ enter your response here ore than Spenser after 30 years. (Enter your response rounded to two decimal places.). Answer detailed in step by step method and don't use AI I will downvote
Many retirement funds charge an administrative fee equal to 0.25% on managed assets. Suppose that Alexx and Spenser each invest $7 comma 000 in the same stock this year. Alexx invests directly and earns 7% a year. Spenser uses a retirement fund and earns 6.75% Part 2 If Alexx and Spenser leave their investments in place for 30 years, with annual compounding of the interest, how much more will Alexx have than Spenser at the end of the 30-year period? Part 3 Alexx will have $ enter your response here ore than Spenser after 30 years. (Enter your response rounded to two decimal places.). Answer detailed in step by step method and don't use AI I will downvote
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Many retirement funds charge an administrative fee equal to 0.25% on managed assets. Suppose that Alexx and Spenser each invest $7 comma 000 in the same stock this year. Alexx invests directly and earns 7% a year. Spenser uses a retirement fund and earns 6.75%
Part 2
If Alexx and Spenser leave their investments in place for 30 years, with annual compounding of the interest, how much more will Alexx have than Spenser at the end of the 30-year period?
Part 3
Alexx will have $
enter your response here ore than Spenser after 30 years. (Enter your response rounded to two decimal places.).
Answer detailed in step by step method and don't use AI I will downvote
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