Part A

Having earned degrees from Auburn University and securing jobs at Yost Rocks, Inc., you and

your spouse begin immediately saving for retirement and the dreamy ever after that you need

to fund. At this point, your ever after fund has a balance of $0. You begin depositing $300

each 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. The

joint account earns 9 percent APR, compounded monthly. How much will you two have in your

joint 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 after

your 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 as

before?