Mathematics, 21.03.2020 20:49 DroctorWellsfan
Cynthia opened a retirement account with $23,000. The fund pays 2.9% interest compounded monthly. Cynthia expects to retire in 30 years. She also does not plan to make any payments into this account. She used the TVM Solver to help her predict how much her retirement fund will be worth in 30 years (see below). What did she do incorrectly? What can she do to fix her mistake? N = 360, I% = 2.9, PV = -$23,000, FV = ?, P/Y = 12, C/Y = 12
a. She used the wrong value for PV. She should have used $23,000.
b. She used the wrong value for I%. She should have used .242 which is (2.9/12).
c. She used the wrong value for P/Y. She should have used a lower number.
d. She used the wrong value for N. She should have used 30.
e. Cynthia didn’t make any mistakes.
Answers: 1
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Mathematics, 21.06.2019 22:00
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Cynthia opened a retirement account with $23,000. The fund pays 2.9% interest compounded monthly. Cy...
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