(Solution) - After college you have no money but you begin to -(2025 Original AI-Free Solution)

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Academic Level: Undergrad. (yrs 3-4)

Paper Format: APA

Pages: 5 Words: 1375

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After college you have no money, but you begin to create a retirement account by making continuous deposits that total d = $5, 000 per year. Suppose that the account pays interest at an annua1 rate of 8% compounded continuously. Use a computer or ca1culator to plot the future value of your account over the next 20 years. Experiment by changing the interest rate and the annua1 deposits. Which parameter is more important to the future value of your account? To increase your future worth, is it more important to increase your annual deposit or to find an institution that pays a higher rate of interest?