Essentials of Business Analytics (MindTap Course List)
Essentials of Business Analytics (MindTap Course List)
2nd Edition
ISBN: 9781305627734
Author: Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher: Cengage Learning
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The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume
that the quoted rate of return continues indefinitely.)
How much would be accumulated after 25 years in a retirement account invested entirely in the Vanguard 500 stock fund with payments of $280 per month? HINT [See Quick Example 1.] (Round your answer to
the nearest cent.)
SA
$
Mutual
Fund
Fidelity
Growth
Company
Vanguard
500 Index
PIMCO
Total Return
Vanguard
Total Bond
Market Index
Type
Stock fund
Stock fund
Bond fund
Bond fund
Rate of
30.31%
17.98%
3.63%
3.10%
Return
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Transcribed Image Text:The following table shows the average returns for some of the largest mutual funds commonly found in retirement plans. (Assume end-of-month deposits and withdrawals and monthly compounding, and assume that the quoted rate of return continues indefinitely.) How much would be accumulated after 25 years in a retirement account invested entirely in the Vanguard 500 stock fund with payments of $280 per month? HINT [See Quick Example 1.] (Round your answer to the nearest cent.) SA $ Mutual Fund Fidelity Growth Company Vanguard 500 Index PIMCO Total Return Vanguard Total Bond Market Index Type Stock fund Stock fund Bond fund Bond fund Rate of 30.31% 17.98% 3.63% 3.10% Return
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Essentials of Business Analytics (MindTap Course ...
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ISBN:9781305627734
Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson
Publisher:Cengage Learning