New job that offers retirement savings account

Assignment Help Financial Management
Reference no: EM131869866

PLEASE SOLVE USING EXCEL AND SHOW THE STEPS

(a) Rae started saving money at an early age (10 years old). Each month, her mom put the money in an account that compounded annually at 5.75%. Now Rae is 23 and has $6936.72. How much did she save each month? (Assume she saved for a full 13 years).

(b) You have just started a new job that offers a retirement savings account. You have two options:

You can invest 5% of your monthly wages at 2% OR You can invest 4% of your monthly wages at 4%. Both are compounded monthly.

Assume that you will always make $45,000 annually, which plan will give you a better return after 25 years and how much will you have saved with the plan?

Reference no: EM131869866

Questions Cloud

What is the value of share of macho man stock today : You own a share of stock in Macho Man Incorporated. What is the value of a share of Macho Man stock today if the company pays the same dividend forever?
Read the scenario and answer the subsequent questions : Everything you do as an official at the Department of Homeland Security is about control. Your task is to maintain strict security standards at all U.S. airport
The rate of return for similar-risk common stock : The rate of return for similar-risk common stock is 14%. What is the value of Hodges common stock?
Find the corporate bond quotes : find the following corporate bond quotes. What price would you expect to pay for the Kenny Corp. bond? What is the bond’s current yield?
New job that offers retirement savings account : You have just started a new job that offers a retirement savings account.
Discuss the alternatives besides filing a lawsuit : You are the editor of a publishing company and are careful to register all of your books with the U.S. Copyright Office.
Calculate the target price : The firm has $300 million in debt and 42 million shares outstanding. Calculate the target price. Calculate the WACC for Foodmart
Bond issue that has ten years until maturity : Suppose that General Electric has a bond issue that has 10 years until maturity. what is the yield to maturity on the bond?
How many agent should be on call to reduce average wait time : EfficientResponse specializes in providing call center services to major electronics retailers. Recently, CheapTronics, a company which had outsourced.

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd