The following information is used for the next two questions…
The following information is used for the next two questions: Suppose you graduate from college today at age 23 (time t=0) and want to retire at age 60 (time t=37). You expected earn an effective annual rate of 10% on your retirement savings. You will make equal, end-of-the-year deposits to your account, with the goal to have $3,000,000 in your retirement account when you retire. ———— Your wise parents suggest that you start retirement saving right away, with your first deposit at age 24 (t=1) and continue until your last deposit at age 60 (t=37). If you listen to them, how much will you need to save each year to reach your goal?