3. Peggy gets paid every other week (bi-weekly) and her husband Patrick gets paid monthly. Peggy is going to make a $150 deposit from her paycheck every two weeks into a new retirement fund, and Patrick is going to deposit $300 from his paycheck monthly into a new retirement fund. Both accounts earn an effective annual rate of 6%. Peggy's account compounds bi-weekly and Patrick's fund compounds monthly that matches their deposits.
a What together can Peggy and Patrick expect to receive from their deposits in 30 years?
b How much would Patrick have to deposit each month for the combined savings to achieve $1 million in thirty years? (Peggy would continue as above.)