2) You set up a 45-year investment plan with the intention of amassing 1,500,000 at the end of the 45 years. Assume an average return of 7% per year. a) Set up an IVP that describes the progress of the 45-year investment plan. (You will be putting in a fixed payment each month) b) What should be your monthly payment over the 45-years to ensure your investment plan reaches 1,500,000? c) What should your monthly payment be if you were to start an investment plan reaching the same $1,500,000 over 20 years?

2) You set up a 45-year investment plan with the intention of amassing 1,500,000 at the end of the 45 years. Assume an average return of 7% per year. a) Set up an IVP that describes the progress of the 45-year investment plan. (You will be putting in a fixed payment each month) b) What should be your monthly payment over the 45-years to ensure your investment plan reaches 1,500,000? c) What should your monthly payment be if you were to start an investment plan reaching the same $1,500,000 over 20 years?

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 16P

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