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# (1) An individual purchased a \$2000 Roth IRA when he was 25 years old. At 6 % per annum compounded annually for 35 years when he will be 60. How much...

(1)

An individual purchased a \$2000 Roth IRA when he was 25 years old. At 6 % per annum compounded annually for 35 years when he will be 60. How much will he obtain from the investment?

Listed below are the things that will be in play for the calculation:

Initial investment (PV)

Quoted rate

Compounding frequency                     ( Choose one)

Number of compounding (m)          (  for quarterly, type 4; for semiannually type 2;   for monthly, type 12.

for daily, type  365  )

Quoted rate divided by M=rate

Number of years

NPER (num. of years*m)

What is the Ending Amount (FV?)

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