Question

You begin working at age 25, and your employer deposits $350 each month into a retirement account that pays an APR of 6% compounded monthly. Complete the following table to show the size of your nest egg in terms of the age at which you retire. Include retirement ages every year from 60 to 70 years old. (round your answers to the nearest cent.)

Answer 1

Table is made using excel,

Formula used to calculate Future corpus =FV(rate, nper,pv)

rate is compounded monthly, so 6%/12

nper = year *12

Age	corpus	Formula
60	₹ 4,98,648.60	FV(6%/12, 35*12, 350)
61	₹ 5,33,721.61	FV(6%/12, 36*12, 350)
62	₹ 5,70,957.83	FV(6%/12, 37*12, 350)
63	₹ 6,10,490.71	FV(6%/12, 38*12, 350)
64	₹ 6,52,461.89	FV(6%/12, 39*12, 350)
65	₹ 6,97,021.76	FV(6%/12, 40*12, 350)
66	₹ 7,44,329.98	FV(6%/12, 41*12, 350)
67	₹ 7,94,556.07	FV(6%/12, 42*12, 350)
68	₹ 8,47,880.00	FV(6%/12, 43*12, 350)
69	₹ 9,04,492.83	FV(6%/12, 44*12, 350)
70	₹ 9,64,597.41	FV(6%/12, 45*12, 350)