Terry Austin is 30 years old and is saving for her retirement. She is planning on making 37 contributions to her retirement account at the beginning of each of the next 37 years. The first contribution will be made today (t = 0) and the final contribution will be made 36 years from today (t = 36). h The retirement account will earn a return of 8.1 percent a year. If each contribution she makes is $1.902.00 how much will be in the retirement account 36 years from now (t = 36)? O $395.578.48 O $397,578.48 O $393,578.48 O $401,578.48 O $399.578.48

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 34P
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Terry Austin is 30 years old and is saving for her retirement. She is
planning
on making 37 contributions to her retirement account at the beginning
of
each of the next 37 years. The first contribution will be made today
(t = 0) and the final contribution will be made 36 years from today (t =
36).
A
The retirement account will earn a return of 8.1 percent a year. If each
contribution she makes is $1.902.00 how much will be in the retirement
account 36 years from now (t = 36)?
O $395.578.48
O $397,578.48
O $393,578.48
O $401,578.48
O $399,578,48
Transcribed Image Text:Terry Austin is 30 years old and is saving for her retirement. She is planning on making 37 contributions to her retirement account at the beginning of each of the next 37 years. The first contribution will be made today (t = 0) and the final contribution will be made 36 years from today (t = 36). A The retirement account will earn a return of 8.1 percent a year. If each contribution she makes is $1.902.00 how much will be in the retirement account 36 years from now (t = 36)? O $395.578.48 O $397,578.48 O $393,578.48 O $401,578.48 O $399,578,48
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