You just won the Sweepstakes and have decided to take your winning in 15 equal payments of $35,000.You decide to save all of this money for your retirement and deposit it into an account that earns 11% per year.What is the amount of your retirement nest egg? (Round to the nearest whole dollar)
A) $1,204,188
B) $1,032,161
C) $1,112,037
D) $557,810
E) $852,225

Question

Quizplus · Accepted Answer

FV = PMT × 11ea7fdb_fc14_aca5_a768_a76238c5432c_TB2902_11 FV = 35,000 × 11ea7fdb_fc14_aca6_a768_151f481e1e69_TB2902_11 = $1,204,187.56
Using a financial calculator:
N = 15, I/Y = 11, PV = 0, PMT = -35,000, cpt FV = $1,204,187.56

You Just Won the Sweepstakes and Have Decided to Take