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Later in life, Devon convinces her friend Taylor to start saving for retirement as well....

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Accounting

Later in life, Devon convinces her friend Taylor to start saving for retirement as well. Even though Taylor is
the same age as Devon, she hasnt started saving for retirement yet. With only 20 years left until they both
plan to retire, Taylor decides she needs to invest at least twice as much as Devon each month to try to catch
up to Devons retirement plan. Taylor opens a similar retirement account to Devons that also has an APR
6.25% compounded monthly. She will invest (b) $__________ per month. Round answers to two
decimal places.
a. How much money will be in Taylors retirement account if she continues to make the same monthly
investment for 20 years? (3 pt)
b. By the time she retires, Taylor will have contributed how much of her own money overall? (4 pt)
c. What percent of the final balance in Taylors retirement account will be interest? (4 pt)
3. Write complete sentences that identify which person had the higher amount and by how much. Round
answers to two decimal places.
a. Who had more money in their retirement account when they planned to retire? How much more? (4 pt)
b. Who contributed more to their retirement account? How much more?

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