Problema self-employed person deposits 3000 annually in a, Ask an Expert

Accounting

Problem:

A self-employed person deposits $3,000 annually in a retirement account that earns 8 percent.

Required:

Question 1: How much will be in the account when the individual retires at the age of 65 if the savings program starts when the person is age 40?

Question 2: How much additional money will be in the account if the saver defers retirement until age 70 and continues the contributions?

Note: Show supporting computations in good form.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M91171740

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