You have just celebrated your 20th birthday. You want to retire when you turn 65. Starting...

 

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You have just celebrated your 20th birthday. You want to retire when you turn 65. Starting today, you are going to make monthly contributions to your RRSP, so that when you retire you can withdraw $2,250 per month for 15 years. The first withdrawal is made when you turn 65. You anticipate the invested funds will earn 7% compounded monthly. a. How much money must you contribute each month to your RRSP to achieve your goal? How much interest did you earn during the entire time? b. You have just celebrated your 20th birthday. You want to retire when you turn 65. Starting today, you are going to make monthly contributions to your RRSP, so that when you retire you can withdraw $2,250 per month for 15 years. The first withdrawal is made when you turn 65. You anticipate the invested funds will earn 7% compounded monthly. a. How much money must you contribute each month to your RRSP to achieve your goal? How much interest did you earn during the entire time? b.