You have just created a retirement savings account for your newborn baby with an initial investment of $1,000. You expect it to exhibit an average expected return of 7% per year (compounded yearly).

How much would you expect to be in that account by the time that child retires at age 62 if no additional investments are made (to the nearest dollar)?

Answer rating: 100% (QA)

Assuming that the account will be compounded annually at a fixed rate of ... View the full answer