Your job pays you only once a year for all the work you did overthe previous 12 months. Today, December 31, you just received yoursalary of $52,000 and you plan to spend all of it. However, youwant to start saving for retirement beginning next year. You havedecided that one year from today you will begin depositing 10percent of your annual salary in an account that will earn 9.2percent per year. Your salary will increase at 3 percent per yearthroughout your career.

How much money will you have on the date of your retirement 40years from today? (Do not round intermediate calculationsand round your final answer to 2 decimal places. (e.g.,32.16))

Future value

$

Answer rating: 100% (QA)

To calculate the future value of your retirement savings we need to consider the annual deposits the ... View the full answer