Wednesday

January 28, 2015

January 28, 2015

Posted by **fazilah** on Thursday, August 18, 2011 at 4:33am.

thereafter. Person B waits until age 35 to open an IRA and contributes $2000 per years for 30 years. There is

no initial investment in either case.

a) Assuming an interest rate of 8%, what is the balance in each IRA at age 65?

- mathmodeling -
**Reiny**, Thursday, August 18, 2011 at 7:44amperson A

amount = 2000(1.08^10 - 1)/.08 * 1.08^30 = 291 546.62

person B

amount = 2000(1.08^30 - 1)/.08 = 226 566.42

**Answer this Question**

**Related Questions**

math modeling - Person A opens an IRA at age 25, contributes $2000 per year for ...

mathematical modeling - Person A opens an IRA at age 25, contributes $2000 per ...

finance - A self-employed person deposits $3,000 annually in a retirement ...

finance - A self –employed person deposits $3,000 annually in a retirement ...

everest online - 2. At the end of each year a self-employed person deposits $1,...

Finance - A self-employed person deposits $3000 annually in a retirement account...

Investments - At the end of each year a self-employed person deposits $1,500 in ...

finance - You annually invest $1,500 in an individual retirement account ...

Finance - Assume that you are 23 years old and that you place $3,000 year-end ...

Math - Suppose that Ramos contributes $6000/year into a traditional IRA earning ...