Practice Questions
A collection of practice questions from past exams about all topics and types.
Solving for the future value of a growing annuity
Your job pays you at the end of the year and today, December 31, you just received your salary of $125,000 and you plan to spend all of it. However, you want to start saving for retirement beginning next year. You have decided that one year from today you will begin depositing 20% of your annual salary in an account that will earn 4.5% per year.