1.Charles wants to invest $20,000. The investment firm is offering 8% interest compounded monthly. How much money will he have made if he leaves his money with the bank for 40 years? 2.Lisa’s grandmother left her a $100,000 inheritance. She wants to invest the

money in an account paying 7.2% interest compounded continuously. How much

money will be in the account after 30 years?

3.John saved $50,000. and wants to put the money into an Index Annuity that pays

an average of 8.4% per year, compounded semi-annually. How long will it take

him to reach his goal of $1,000,000?

4.Susie needs to make $100,000 to pay her home mortgage and has $10,000 to

invest. How much interest will she need if her bank compounds the interest

annually to reach her goal?

5.Betty wants to retire in 45 years. She needs $2,000,000. If she’s able to find a

Mutual Fund that offers 9.5% interest and compounds quarterly, how mu