question archive You are planning to make monthly deposits of $500 into your superannuation account
You are planning to make monthly deposits of $500 into your superannuation account
Subject:FinancePrice: Bought3
You are planning to make monthly deposits of $500 into your superannuation account. Your first deposit will be made one month from now.
a) How large will your retirementaccount be in 30 years if the investment return rate is 9%?
b) How large will your retirementaccount be in 30 years if the investment return rate is 12%?
c) If you wait 5 years to startinvesting, though your contributions are $750 a month, are you better off thanyour answer in (b)?
d) What happens to the future value ofan annuity if you decrease interest rates?
