5. Start saving for retirement immediately! Even a modest amount will add up in a hurry. Jay decides to follow this advice and puts away 1% of his annual salary of P500,000 per year. This equates to P5,000 on his 21st birthday, and his salary will increase by 2% (on average) every year thereafter until Jay turns 60 years old. What is the worth of Jay's account at age 60 when the annual interest rate of his account is 1% per year?

5. Start saving for retirement immediately! Even a modest amount will add up in a hurry. Jay decides to follow this advice and puts away 1% of his annual salary of P500,000 per year. This equates to P5,000 on his 21st birthday, and his salary will increase by 2% (on average) every year thereafter until Jay turns 60 years old. What is the worth of Jay's account at age 60 when the annual interest rate of his account is 1% per year?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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