From age 25 to age 45, Jill deposited $250 at the end of each month into...

    

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From age 25 to age 45, Jill deposited $250 at the end of each month into a tax-free retirement account. She made no withdrawals or further contributions until age 65. Alex made deposits of $350 per month into his tax-free retirement from age 40 to age 65. Both accounts earned interest at a rate of 4% per year compounded monthly. (a) How much does Jill have in her account at age 65? (b) How much does Alex have in his account at age 65? (c) How much did Jill contribute to her account? (d) How much did Alex contribute to his account? From age 25 to age 45, Jill deposited $250 at the end of each month into a tax-free retirement account. She made no withdrawals or further contributions until age 65. Alex made deposits of $350 per month into his tax-free retirement from age 40 to age 65. Both accounts earned interest at a rate of 4% per year compounded monthly. (a) How much does Jill have in her account at age 65? (b) How much does Alex have in his account at age 65? (c) How much did Jill contribute to her account? (d) How much did Alex contribute to his account?

Answer rating: 100% (QA)

SOLUTION To calculate the amounts in Jills and Alexs retirement accounts and the contributions made ... View the full answer