Individual Retirement Accounts Money earned in an ordinary savings account is subjec...

Individual Retirement Accounts Money earned in an ordinary savings account is subject to federal, state, and local income taxes. However, a special type of retirement savings account, called a traditional individual retirement account (traditional IRA), allows these taxes to be deferred until after retirement. IRAs are highly touted by financial planners. The purpose of this programming project is to show the value of starting an IRA early.

Earl and Larry each begin full-time jobs in January 2013 and plan to retire in January 2061 after working for 48 years. Assume that any money they deposit into IRAs earns 4 % interest compounded annually. Earl opens a traditional IRA account immediately and deposits $5000 into his account at the end of each year for fifteen years. After that he plans to make no further deposits and just let the money earn interest. Larry plans to wait fifteen years before opening his traditional IRA and then deposit $5000 into the account at the end of each year until he retires.

Write a program that calculates the amounts of money each person has deposited into his account and the amount of money in each account upon retirement. See Fig. 6.71.