Answer:
The money will you have on the date of your retirement 45 years from today is $4,465,480.95
Explanation:
In order to calculate the money that you will have on the date of your retirement 45 years from today we would have to calculate the following formula:
money that you will have on the date of your retirement 45 years from today=PV(1+r)∧n
To calculate the PV first we need to calculate the deposit amount as follows:
deposit=5%*($57,000+($57,000*6%)
deposit=$3,021
Hence, PV would be calculated as follows:
PV=$3,021*(1-(1+6%/1+10%)∧45/10%-6%
PV=$3,021*1-(0.9636363636)∧45/10%-6%
PV=$3,021*0.81116038/0.04
PV=$61,262.88
Therefore, money that you will have on the date of your retirement 45 years from today=$61,262.88*(1+10%)45
Therefore, money that you will have on the date of your retirement 45 years from today=$4,465,480.95
The money will you have on the date of your retirement 45 years from today is $4,465,480.95
