Susan is 22 years old and today she opened a savings account that offers an interest...

Susan is 22 years old and today she opened a savings account that offers an interest rate of 12% per year, with an initial deposit of 15000 KD. For the following years she plans to deposit the same amount but with an increase of 150 KD every year until she retires at age 61.
a) How much will Susan have available when she retires?
b) Calculate the annual equivalent of Susan’s savings plan.

Expert Solution

a) How much will Susan have available when she retires?

$13926063.85

b) Calculate the annual equivalent of Susan’s savings plan.

$18154.37

jeff jeffy answered 1 year ago

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