If Juliana started investing in an IRA at age 24, she decides to place $1000 into her IRA each year for the next 40 years. What will the value of the IRA be after the 40th deposit if her interest rate is 6% per annum compounded annually?
Added by Gabriel B.
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Step 1: Calculate the future value of an annuity using the formula FV = P * ((1 + r)^n - 1) / r, where FV is the future value, P is the annual payment, r is the interest rate, and n is the number of periods. Show more…
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