question archive You just graduated this year and you plan to work for the next 12 years to save some money and start your own business afterwards
You just graduated this year and you plan to work for the next 12 years to save some money and start your own business afterwards
Subject:FinancePrice: Bought3
You just graduated this year and you plan to work for the next 12 years to save some money and start your own business afterwards. In the first 6 years, you expect to save $8,000 a year. In the subsequent 6 years, you expect to get a promotion and make more money, so you can save $16,000 a year. All yearly deposit at made at the beginning of the year. In addition, your grandfather just gave you $25,000 as graduation gift, which you deposit to your bank account immediately. If the account earns 10% interest per year, how much will you have when you start your business 12 years from now?
You must show all calculation steps
