Kimberly, a recent graduate joining the workforce, believes that it is important to save some money...

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Kimberly, a recent graduate joining the workforce, believes that it is important to save some money on a monthly basis. She plans to start a new savings account and deposit $500 every month into the new account for at least the next 2 years. She wants to select the account that provides her with the highest return and has narrowed her choices to the following: Savings Account A Savings Account C Nominal Interest rate Compounding Frequency 1% Monthly 1.0% Quarterly Unsure of which account to choose, Kimberly has approached you for some advice. Based on Kimberly's criterion, which savings accounts should she select? Savings Account B (b) What are the assumptions that you have made when advising Kimberly? (c) 0.99% Daily Monthly Savings 500 1000 1500 1200 (4 marks) Although Kimberly is 25 years old, she is also concerned about planning for her eventual retirement. As such, she decided to invest in a retirement-savings plan. The plan will earn an annual interest rate of 2.4% compounded monthly. No. of Years 10 10 10 10 (8 marks) Age 26-35 36-45 46-55 56-65 Compute the amount of savings that Kimberly will have at age 65. (12 marks) Kimberly, a recent graduate joining the workforce, believes that it is important to save some money on a monthly basis. She plans to start a new savings account and deposit $500 every month into the new account for at least the next 2 years. She wants to select the account that provides her with the highest return and has narrowed her choices to the following: Savings Account A Savings Account C Nominal Interest rate Compounding Frequency 1% Monthly 1.0% Quarterly Unsure of which account to choose, Kimberly has approached you for some advice. Based on Kimberly's criterion, which savings accounts should she select? Savings Account B (b) What are the assumptions that you have made when advising Kimberly? (c) 0.99% Daily Monthly Savings 500 1000 1500 1200 (4 marks) Although Kimberly is 25 years old, she is also concerned about planning for her eventual retirement. As such, she decided to invest in a retirement-savings plan. The plan will earn an annual interest rate of 2.4% compounded monthly. No. of Years 10 10 10 10 (8 marks) Age 26-35 36-45 46-55 56-65 Compute the amount of savings that Kimberly will have at age 65. (12 marks)

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a We have to gotten compounded interests for each saving account narrowed by Kimberly we use the fol... View the full answer