Question

If you and your spouse each invest S50 per paycheck, or $2,600 per year for 40 years at 8% what will it be worth? Mr. & Ms. Johnson recently had a 5-lb. baby girl, named Alexis. When Alexis was born her grandmother opened an education trust fund with $10,000 that Alexis can receive at age 17, provided she goes to college. What will the fiund be worth in 17 years assuming an average return of 10%?

Answer 1