Bill plans to fund his individual retirement account (IRA)with a maximum contribution of $2,000 at the end of each year for the next 20 years.If Bill can earn 12 percent on his contributions,how much will he have at the end of twentieth year? (Round to the nearest whole dollar)

Question

Quizplus · Accepted Answer

FV = PMT × 11ea7fdb_fc14_d3b7_a768_ad98312a487f_TB2902_11 FV = 2,000 × 11ea7fdb_fc14_d3b8_a768_4d230fbe5ef3_TB2902_11 = $144,104.88
Using a financial calculator:
N = 20, I/Y = 12, PV = 0, PMT = -2,000, cpt FV = $144,104.88

Bill Plans to Fund His Individual Retirement Account (IRA)with a Maximum