If starlainvests a total of 44000 through a series of 12

Reference no: EM13615506

Starla has decided to retire in 12 years. She has $44,000available today and wants to invest the money to supplement her pension plan.

A. Assume Starlawants to accumulate $100,000by her retirement date. Will sheachieve her goal if she invests $44,000 today and earns 7%?

B. If Starlainvests a total of $44,000 through a series of 12 equal annual installments instead of a single amount, would Starla accumulatethe desired $100,000? The first investment would be made one year from today. Show calculations and explain what you find.

C. If the amountcalculated in part A does not equal $100,000 approximately how many years would be required, assuming the same interest and equal annual deposits as above.

Reference no: EM13615506

Questions Cloud

Bob and lisa must replace their old car as soon as : bob and lisa were shocked by the amount of the monthly payment.the dealer told them not to worry because he could

If accounts payable increases from the beginning of the : if accounts payable increases from the beginning of the periodto the end of the period how will that fact show up on

Becky is the owner of brookstone farm on january 1 2007 : becky is the owner of brookstone farm. on january 1 2007 thebeginning of the companys fiscal year becky borrowed750000

Hal green plans to choose one of the three : hal green plans to choose one of the three investments.investment a pays 1000 at the end of each year for four

If starlainvests a total of 44000 through a series of 12 : starla has decided to retire in 12 years. she has 44000available today and wants to invest the money to supplement her

Assume thatmichael does not begin saving until he has : michael just graduated from college and has his first job. hissalary is that of an entry-level employee so he has to

Prepare the journal entries necessary to bring the companys : the following information is available to reconcile hamiltoncompanys book balance of cash with its bank statement cash

An analysis of the general ledger accounts indicates that : an analysis of the general ledger accounts indicates that delivery equipment which had cost 50000 and on which

If inventory increases from the beginning of theperiod to : if inventory increases from the beginning of theperiod to the end of the period how will that fact show up on

User Account

All Pages