42. Suppose that you save for retirement by contributing the same amount each month from your 23rd birthday until your 65th birthday, in a retirement account that pays a steady 4% annual interest compounded monthly.
How much will be in your fund at age 65 if you save $100 a month?
How much will be in your fund if you get a steady return of 7.5% compounded monthly?
How much will be in your fund if you get a steady return of 10% compounded monthly? (This is approximately the average annual return on the New York Stock Exchange from 1950 to 2000.)