Lynne is 25 years old and starting and IRA (individual retirement account). She is going to invest $150 at the beginning of each

Question

2 years ago

14

Lynne is 25 years old and starting and IRA (individual retirement account). She is going to invest $150 at the beginning of each

month. The account is expected to earn %5.5 interest, compounded monthly. How much money rounded to the nearest dollar will lynne have in her IRA if she wants to retire at age 65

Mathematics

2 answers:

JulsSmile [24] · Answer 1 · 2022-05-19T18:21:44+03:00

JulsSmile [24]2 years ago

5 0

Answer:

$262,353

Step-by-step explanation:

Dont have an explanation but it is the right answer, Thanks to the **** that put the wrong answer.

Yuri [45] · Answer 2 · 2022-05-19T16:46:43+03:00

Yuri [45]2 years ago

3 0

The future amount of Lynnes retirement account can be computed using the formula of amortization or annuity:
P = A[(1+i)^n-1)]/(i)
A= amortization
i= 5.5%
n = 40*12 = 480
Subsituting the variables in th formula, Future amount of Lynne in 40 years is equal to
P = $29,082.71