Having earned degrees from Auburn University and securing jobs at Yost Rocks, Inc., you andyour spouse begin immediately saving for retirement and the dreamy "ever after" that you needto fund. At this point, your "ever after" fund has a balance of $0. You begin depositing $300each month, starting one month from now, for the next 30 years. Your spouse begins depositing$5,000 each year, starting one year from now, into the same account for the next 30 years. Thejoint account earns 9 percent APR, compounded monthly. How much will you two have in yourjoint account 30 years from now, immediately after your last deposits?

Part B

Your "ever after" is expected to be funded by monthly withdrawals, starting one month afteryour last deposits, and it is expected to last for 35 years. How much will you two (collectively)have to happily spend each month, assuming your accounts continue to earn the same rate asbefore?

Answer rating: 100% (QA)

To calculate the amount in the joint account after 30 years we need to consider the monthly deposits from you and the annual deposits from your spouse ... View the full answer