You have inherited $10,000 from your wonderful Great Uncle Zia. You decide to spend 3,473 on a vacation. The rest you will invest in a Roth IRA. You expect it to earn 6.8% over the next 45 years. How much will you have to use for retirement in 43 years?

Post your answer as a positive whole number. For example 40,000.

Subtract the portion you will use on a vacation from the $10,000. The amount left is the PV that is invested in the Roth IRA.

You want to find the FV of the money over the next few years.

There is no added pmt after the lump sum, so payment = 0

FV= (rate,nper,pmt, PV, 0)

This is annual and not at the beginning of the period so no adjustments to nper or rate. Use the annual values

Post your answer as a positive value with no decimals.

Thank you.

Answer rating: 100% (QA)

The first step is to subtract the portion used on vacation fro... View the full answer