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what is the future worth of his

what is the future worth of his

Essentials Of Investments
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
Section: Chapter Questions
Problem 1PS
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I need a cashflow diagram. thank you

Exercises 2: Old age comes to everyone. So does poor health, sickness and unemployment. Financial planning is crucial while young. On this note, Raeez started his retirement fund 3 years ago during which he made a monthly contribution of P1500 to SUNLIFE of Canada (Phils.) without fail. Apart from the life insurance and medical insurance, SUNLIFE offered an interest rate of 0.5% per month for the first 2 years and 1% per month thereafter. Today, Raeez's income has improved and so he thought of setting aside a monthly savings of P3000 for the next 5 years and P5000 per month for another 2 years thereafter. Then, he plans to retire. SUNLIFE likewise offered an attractive return of 2% per month after the 5th year of continuous savings. Assuming that Raeez was diligent in his monthly payments, what is the future worth of his savings by the time of his retirement?
Transcribed Image Text:Exercises 2: Old age comes to everyone. So does poor health, sickness and unemployment. Financial planning is crucial while young. On this note, Raeez started his retirement fund 3 years ago during which he made a monthly contribution of P1500 to SUNLIFE of Canada (Phils.) without fail. Apart from the life insurance and medical insurance, SUNLIFE offered an interest rate of 0.5% per month for the first 2 years and 1% per month thereafter. Today, Raeez's income has improved and so he thought of setting aside a monthly savings of P3000 for the next 5 years and P5000 per month for another 2 years thereafter. Then, he plans to retire. SUNLIFE likewise offered an attractive return of 2% per month after the 5th year of continuous savings. Assuming that Raeez was diligent in his monthly payments, what is the future worth of his savings by the time of his retirement?
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