[Get Solution] Monthly Contributions
This is just a homework assignment I am needing the answers to Question 1 Find the correct excel formula to find the total in a savings account: Monthly Amount = $1800 Interest Rate = 0.15% Years in Account = 25 Group of answer choices =FV(0.0015/12,25*12,-1800) =FV(0.15/12,25*12,-1800) =FV(0.0015,300,-1800) =FV(0.15/12,300,-1800) =FV(.0015/12,25*12,1800) Question 2 An employer will do a 50% match on your investment to a 401k retirement plan. If you decide to contribute a monthly amount of $220, how much should be in the account after 15 years? The interest rate is fixed at 2.05%. Question 3 Find the total in the account with the following facts: Monthly contributions = $180 Employer matching = 25% Interest rate = 4.99% Years invested = 38 Question 4 John makes $2,800 per month and has an opportunity to invest $150 per month at an APR of 4.5% in a 401K plan through work. He plans to retire in 30 years. Type in the EXACT formula you would use in excel (no spaces) to find the amount in the account after he has invested for 30 years. Using excel, what is the answer to the formula from the previous part? How much money will he deposit into the 401K over the 30 years? How much total interest will he earn on his 401K over the 30 years? Question 5 You have recently signed up for a new job and noticed this policy for retirement savings. Invest $200 and the employer does 70% matching for 35 years at an interest rate of 4.8%. Find the total amount that the employer contributes each month. What amount will you have after 35 years? How much money have you deposited into the account yourself? How much more money is in the account than what you have deposited? Question 6 Consider this scenario: In 1986, a family member invested $100 each month into a savings account with an interest rate of 0.25% (that didn’t change). In 2016, you decided you needed to use that saved up money for a big purchase, so you cash the savings account out. How much money should be in the account using the FV formula? If your family put the $105 each month instead of just the $100, how much extra would be in the account compared to the total value from the first part? If you were to invest $200 each month, what would your savings account have in 2016? Question 7 How much interest did you gain if you invested in a retirement plan with a rate of 2.5% over 42 years? Your monthly deposits totaled $520.