Reference no: EM133086153
Use the calculators at Dinkytown.net to answer the following questions:
a. You need $5,000 for a trip to Europe in two years. How much would you have to deposit monthly in a savings account paying 1 percent in order to meet your goal?
b. Investing $1,000 at 6 percent for five years, what is the difference in purchasing power of your savings if inflation increases by 2 percent annually during that time? By 4 percent?
c. Starting today, how much would you need to save each month in order to become a millionaire before you retire?
d. You need a new car. What car can you afford if you have $1,500 for a down payment, can make monthly payments of $300, and get $1,000 for trading in your old clunker?
e. How much house can you afford if you earn $36,000 a year and have $10,000 savings for a down payment, a $6,000 car loan balance, and no credit card debts?
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