Question: A.) John has just turned 25 and is gainfully employed in an investment consulting firm. He is currently earning $40,000 a year and would like

A.) John has just turned 25 and is gainfully employed in an investment consulting firm. He is currently earning $40,000 a year and would like to have $3,000,000 when he retires at age 65. He figures that he better start putting money into a retirement account as soon as possible or he may never achieve his dream. If John can earn an annual rate of return of 10% in an equity index fund, how much money would he have to deposit each month, beginning exactly one month from today, to reach his goal? B.) Let's say that like most young men, John is unable to stick to his original plan. Instead, he deposits $300 per month for the first 5 years, and then wants to get back on track to reach his goal. How much would his deposits have to be for the remaining number of years to achieve his dream of having a $3,000,000 retirement nest egg? A.) John has just turned 25 and is gainfully employed in an investment consulting firm. He is currently earning $40,000 a year and would like to have $3,000,000 when he retires at age 65. He figures that he better start putting money into a retirement account as soon as possible or he may never achieve his dream. If John can earn an annual rate of return of 10% in an equity index fund, how much money would he have to deposit each month, beginning exactly one month from today, to reach his goal? B.) Let's say that like most young men, John is unable to stick to his original plan. Instead, he deposits $300 per month for the first 5 years, and then wants to get back on track to reach his goal. How much would his deposits have to be for the remaining number of years to achieve his dream of having a $3,000,000 retirement nest egg
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