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Luis has $180,000 in his retirement account at his present company. Because he is assuming a...

Luis has $180,000 in his retirement account at his present company. Because he is assuming a position with another company, Luis is planning to "roll over" his assets to a new account. Luis also plans to put $3000/quarter into the new account until his retirement 20 years from now. If the new account earns interest at the rate of 2.5%/year compounded quarterly, how much will Luis have in his account at the time of his retirement?

Hint: Use the compound interest formula and the annuity formula. (Round your answer to the nearest cent.)

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Answer #1

Calculatuon of amount at the time of retirement is shown below

Thus, amount at time of retirement would be $606,464.16

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