Q Search this cour Assignment: Chapter 14 Planning for Retirement Understanding the Impact of Compounding There are many reasons why people don't save: "I don't have any extra money promise to start next year I have $100. what will that do?" *Te rather pay extra on my bills and get those taken care of first." Many people who did establish a retirement plan have found that years into their plan, they made three mistakes They started too late They put away too little They invested to conservatively. And these pitfalls are magnified when you consider compound interest Consider the compound interest effect in the following two scenarios. (Note: In your calculations, use either the formula or the financial calculator Round your answers to the nearest cent) Jacques, age 40, is starting his savings plan this year by putting away 1,500.00 at the end of every year until he reaches age 65. He will deposit this money at his local savings and loan at an interest rate of 696 The future value annuity Interest factor is 54.8645. Based on the information provided by the time Jacques turns 65, he will have Consider the compound interest effect in the following two scenarios. (Note: In your calculations, use either the formula or the financial calculator Round your answers to the nearest cent.) Jacques, age 40, is starting his savings plan this year by putting away $1,500.00 at the end of every year until he reaches ago 65. He will deposit this money at his local savings and loan at an interest rate of 6%. The future value annuity interest factor is 54.8645 Based on the information provided by the time Jacques turns 65, he will have Kyoko, age 45, is starting her savings plan this year by putting away $1,500.00 at the end of every year until she reaches age 65. She will deposit this money at her local savings and loan at an interest rate of 6% The future value annuity interest factor is 36.7856. Based on the information provided by the time Kyoko turns 65, she will have more than Kyoko. By the time Jacques turns 65, he will Jacques started his investment program five years earlier and set aside have accumulated more than Kyoko