You are 29 years old and decide to start saving for your retirement. You plan to save $6,500 at the end of each yearâ (so the first deposit will be one year fromâ now), and will make the last deposit when you retire at age 66. Suppose you earn 7% per year on your retirement savings.
a. How much will you have saved forâ retirement?
b. How much will you have saved if you wait until age 34 to start savingâ (again, with your first deposit at the end of theâ year)?
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