Question

Today is your 21st birthday and your parents gave you a gift of $2,000. You just...

Today is your 21st birthday and your parents gave you a gift of $2,000. You just put this money in a brokerage account, and your plan is to add $1,000 to the account each year on your birthday, starting on your 22nd birthday. If you earn 10 percent a year in the brokerage account, what is the minimum number of whole years it will take for you to have at least $1,000,000 in the account? a. 41 b. 43 c. 45 d. 47 e. 48

Homework Answers

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Today is your 21st birthday and you just decided to start saving money so you can...
Today is your 21st birthday and you just decided to start saving money so you can retire early. Thus, you are going to save $500 a month starting one month from now. You plan to retire as soon as you can accumulate $1 million. If you can earn an average of 8%on your savings, how old will you be when you retire?
. It is your 6th birthday today. You have a trust fund with $50,000 that is...
. It is your 6th birthday today. You have a trust fund with $50,000 that is earning 8% per year. You expect to withdraw $30,000 per year for 7 years starting on your 22nd birthday for graduate school. How much money will be left in the trust fund after your last withdrawal (rounded to the nearest $10)?         
Question 3 Unsaved Today is Janet’s 23rd birthday. Starting today, Janet plans to begin saving for...
Question 3 Unsaved Today is Janet’s 23rd birthday. Starting today, Janet plans to begin saving for her retirement. Her plan is to contribute $ 4 ,000 to a brokerage account each year on her birthday. Her first contribution will take place today. Her 42nd and final contribution will take place on her 64th birthday. Her aunt has decided to help Janet with her savings, which is why she gave Janet $ 2 0,000 today as a birthday present to help...
Today is your 40th birthday. You expect to retire at age 65, and actuarial tables suggest...
Today is your 40th birthday. You expect to retire at age 65, and actuarial tables suggest that you will live to be 100. You want to move to Hawaii when you retire. You estimate that it will cost you $200,000 to make the move (on your 65th birthday). Starting on your 65th birthday and ending on your 99th birthday, your annual living expenses will be $25,000 a year. You expect to earn an annual return of 7% on your savings.  ...
You just opened a brokerage account, depositing $2,000. You expect the account to earn an interest...
You just opened a brokerage account, depositing $2,000. You expect the account to earn an interest rate of 8.84%. You also plan on depositing $2,000 at the end of years 5 through 10. What will be the value of the account at the end of 20 years, assuming you earn your expected rate of return? How would I put this in the HP 10bII+ calculator?
You just celebrated your 40th birthday. You plan to retire when you turn 65. Today you...
You just celebrated your 40th birthday. You plan to retire when you turn 65. Today you have $105,736.62 accumulated in your retirement plan and plan to continue adding money each month to your retirement plan for exactly 25 years, starting one month from now. When you retire you will receive a $40,000 retirement bonus from your employer and will immediately deposit the money into your retirement plan. You will then use the accumulated funds to purchase an annuity that will...
a) You will receive $1,000 from your parents as a birthday gift in half year. You...
a) You will receive $1,000 from your parents as a birthday gift in half year. You have decided to invest it at 5% per annual until you have $1,629. How many years will you have to wait from NOW until you achieve your target? b) You will receive fifty annual payments of $1,000 each beginning at the end of the 40th year. What is the present value of these payments? The appropriate annual discount rate is 10%.
Today is your 25th birthday.  You have decided that it is necessary to plan your own retirement...
Today is your 25th birthday.  You have decided that it is necessary to plan your own retirement since you are not confident that government benefits will be available when you retire.  You will make annual payments into an account earning 5% APY starting on your next birthday (26th) a year from now.  Your last payment will occur on your 70th birthday.  You have decided that you need to plan for payments of $500,000 per year and that there will be a total of 20...
Can you Solve it in Excel Please Today is your 25th birthday.  You have decided that it...
Can you Solve it in Excel Please Today is your 25th birthday.  You have decided that it is necessary to plan your own retirement since you are not confident that government benefits will be available when you retire.  You will make annual payments into an account earning 5% APY starting on your next birthday (26th) a year from now.  Your last payment will occur on your 70th birthday.  You have decided that you need to plan for payments of $500,000 per year and that...
On your first through fifth birthdays your parents placed $2,000 into your college fund (five total...
On your first through fifth birthdays your parents placed $2,000 into your college fund (five total deposits of $2,000 each). The account has earned an average of 8.5% per year until today, your twenty-first birthday. How much money is in the account today? A) $11,733.20 B) $37,219.70 C) $43,714.09 D) $42,383.41
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT