Maria Anguiano's current salary is $58,000 per year, and she is planning to retire 20 years from now. She anticipates that her annual salary will increase by $3,200 each year. (That is, in the first year she will earn $58,000, in the second year $61,200, in the third year $64,400, and so forth.) She plans to deposit 7% of her yearly salary into a retirement fund that earns 9% interest compounded daily. What will be the amount accumulated at the time of her retirement? Assume 365 days in a year. The effective annual interest rate is%. (Round to four decimal places.)

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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Maria Anguiano's current salary is $58,000 per year, and she is planning to retire 20 years from now.
She anticipates that her annual salary will increase by $3,200 each year. (That is, in the first year she
will earn $58,000, in the second year $61,200, in the third year $64,400, and so forth.) She plans to
deposit 7% of her yearly salary into a retirement fund that earns 9% interest compounded daily. What
will be the amount accumulated at the time of her retirement? Assume 365 days in a year.
The effective annual interest rate is %. (Round to four decimal places.)
Transcribed Image Text:Maria Anguiano's current salary is $58,000 per year, and she is planning to retire 20 years from now. She anticipates that her annual salary will increase by $3,200 each year. (That is, in the first year she will earn $58,000, in the second year $61,200, in the third year $64,400, and so forth.) She plans to deposit 7% of her yearly salary into a retirement fund that earns 9% interest compounded daily. What will be the amount accumulated at the time of her retirement? Assume 365 days in a year. The effective annual interest rate is %. (Round to four decimal places.)
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