Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. 6. calculate the future values for dawn and dave's

6. Calculate the future values for Dawn and Dave's investments. a. Dawn invests $2000 each...

70.2K

Verified Solution

Question

Accounting

image

6. Calculate the future values for Dawn and Dave's investments. a. Dawn invests $2000 each year of 10 consecutive years, starting at age 25. Assume an 8% annual rate of return with annual compounding. After age 35 she no longer adds to the account, but the money continues to compound. What was Dawn's out-of-pocket amount? How much will Dawn have accumulated by age 65? b. Dave invests $2000 each year for 30 consecutive years, starting at age 35. Assume the same 8% annual rate of return with annual compounding. What was Dave's out-of-pocket amount? How much will Dave have accumulated by age 65? c. Who contributed the most out-of-pocket? Who made the most money

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students