You would like to start saving for retirement. Assuming you are now 25 years old and you want to retire at age 55, you have 30 years to watch your investment grow. You decide to invest in the stock market, which has earned about 9% per year over the past 80 years and is expected to continue at this rate. You decide to invest $1,000 at the end of each year for the next 30 years. Required: Calculate how much your accumulated investment is expected to be in 30 years. (FV of $1. PV of $1. EVA of $1. and PVA of $1) (Use tables, Excel, or a financial calculator. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Accumulated investment amount 100,834.00
You would like to start saving for retirement. Assuming you are now 25 years old and you want to retire at age 55, you have 30 years to watch your investment grow. You decide to invest in the stock market, which has earned about 9% per year over the past 80 years and is expected to continue at this rate. You decide to invest $1,000 at the end of each year for the next 30 years. Required: Calculate how much your accumulated investment is expected to be in 30 years. (FV of $1. PV of $1. EVA of $1. and PVA of $1) (Use tables, Excel, or a financial calculator. Round your answer to 2 decimal places.) Answer is complete but not entirely correct. Accumulated investment amount 100,834.00
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 22P
Related questions
Question
![You would like to start saving for retirement. Assuming you are now 25 years old and you want to retire at age 55, you have 30 years
to watch your investment grow. You decide to invest in the stock market, which has earned about 9% per year over the past 80 years
and is expected to continue at this rate. You decide to invest $1,000 at the end of each year for the next 30 years.
Required:
Calculate how much your accumulated investment is expected to be in 30 years. (FV of $1. PV of $1. EVA of $1, and PVA of $1) (Use
tables, Excel, or a financial calculator. Round your answer to 2 decimal places.)
Answer is complete but not entirely correct.
Accumulated investment amount
100,834.00](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7491a606-dc45-4e38-9c09-660d84bbbe3a%2Fbfeb44cf-ea1e-4d26-b8c2-ff5839c05bbd%2Fd3lrw7e_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You would like to start saving for retirement. Assuming you are now 25 years old and you want to retire at age 55, you have 30 years
to watch your investment grow. You decide to invest in the stock market, which has earned about 9% per year over the past 80 years
and is expected to continue at this rate. You decide to invest $1,000 at the end of each year for the next 30 years.
Required:
Calculate how much your accumulated investment is expected to be in 30 years. (FV of $1. PV of $1. EVA of $1, and PVA of $1) (Use
tables, Excel, or a financial calculator. Round your answer to 2 decimal places.)
Answer is complete but not entirely correct.
Accumulated investment amount
100,834.00
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