How much will he have in the retirement account

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Problem: During his time in prison, he decided he'd better choose a less risky, steadier career, so he took college courses and became an engineer. During his 5 years in prison, he managed to save $732. It is now the present day and he is embarking on his new life. He decided today to open a savings account. With his new job as an engineer, he will be able to invest $2,850 annually in the account, beginning Year 1. He expects the account to deliver a return of 7.8% per year and plans to retire after accumulating 30 years of contributions to the IRA. Assuming Patrick starts out with an initial deposit of $732, if Patrick is able to meet his goals for annual investing, how much will he have in the retirement account after 30 years of investment?

Reference no: EM133596600

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