C.10. Assume that at age 25 you have decided to become a millionaire by age 65. You decide to in- vest regularly at the end of every year for 40 years into a fund earning 12 percent interest. The...


C.10. Assume that at age 25 you have decided to become a millionaire by age 65. You decide to in-<br>vest regularly at the end of every year for 40 years into a fund earning 12 percent interest.<br>The initial investment deposit at EOY 1 will be relatively small, but you expect to increase<br>the amount of each subsequent deposit by 8 percent every year thereafter.<br>(a) Find the amount of the initial investment (deposit at EOY 1).<br>(b) Find the amount of the final investment (deposit at EOY 40).<br>

Extracted text: C.10. Assume that at age 25 you have decided to become a millionaire by age 65. You decide to in- vest regularly at the end of every year for 40 years into a fund earning 12 percent interest. The initial investment deposit at EOY 1 will be relatively small, but you expect to increase the amount of each subsequent deposit by 8 percent every year thereafter. (a) Find the amount of the initial investment (deposit at EOY 1). (b) Find the amount of the final investment (deposit at EOY 40).

Jun 05, 2022
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