You save $1500 a year into a 401(k) account that you invest in a mutual fund earning7% per year. You plan to retire in 25 years. How much money will you have in youraccount at retirement?Your Answer:

Here, by analyzing the information, it can be said that: Annuity (A): $1500 Interest rate (i): 7%…

Answered: You save $1500 a year into a 401(k)…

Brief Principles of Macroeconomics (MindTap Course List)

8th Edition

ISBN:9781337091985

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter9: The Basic Tools Of Finance

Section9.1: Present Value: Measuring The Time Value Of Money

Problem 1QQ

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You save $1500 a year into a 401(k) account that you invest in a mutual fund earning 7% per year. You plan to retire in 25 years. How much money will you have in your account at retirement? Your Answer: