Shooting for an early retirement

Assignment Help Business Economics

Reference no: EM13735286

You take your first job out of college as an engineer with a salary of $58,000 per year. You decide to contribute $2,000 into your 401K retirement plan at the end of your first year (when you are 22 years old). If you continue to contribute annually, how much money will you have in your account at the end of the year when you are 55 (you are shooting for an early retirement)? The mutual fund you have chosen for your investment historically earns a nominal rate of 12% compounded monthly. You may use this rate for your time value of money calculations.

Reference no: EM13735286

Questions Cloud

What quantity will they produce-what price will they charge : Two firms, A and B, each with a marginal cost of $50, form an oligopoly whose market demand is P = 650 ? 10Q. If the market is defined by Cournot competition, what quantity will they produce and what price will they charge?

Minimum selling price for the bond : You have just purchased a municipal bond with a $10,000 par value for $9,500. You purchased it immediately after the previous owner received a semi-annual interest payment. The bond rate is 6.6% per year payable semi-annually. You plan to hold the bo..

The steepness of an indifference curve indicates : The steepness (slope) of an indifference curve indicates which of the following?

Quantified the relationship between the price of products : A large company in the communication and publishing industry has quantified the relationship between the price of one of its products and the demand for this product as Price = 150- 0.01 x Demand for an annual printing of this particular product.

Shooting for an early retirement : You take your first job out of college as an engineer with a salary of $58,000 per year. You decide to contribute $2,000 into your 401K retirement plan at the end of your first year (when you are 22 years old). If you continue to contribute annually,..

Calculate the horizontal deflection of joint d : A truss is shown in the figure below. Calculate the horizontal deflection of joint D produced by both the load and fabrication error

What is the present value of the contract : Italian energy concern Eni SpA agreed to annually purchase 2 billion cubic meters of LNG from Nigeria LNG Ltd. for resale to the United States. The gas is to be produced at the Bonny facility in Africa and delivered to the Cameron import terminal in ..

Given the short-run cost curve : Given the short-run (SR) cost curve in the chart above for a firm in a perfectly competitive market, find the firm’s best output level and total profits when the market price is: a) $18, b) $13 c) $5 d) $3.

Mental health care programs : The government wants to make Medicare benefits available to more people, but to achieve this goal, it needs to make cuts in the existing Medicare budget. The two areas where they are considering cuts are non-essential elective surgery and 6-12 month ..

User Account

All Pages