1. Not finding help here? Sign up for a free 30min tutor trial with Chegg Tutors
    Dismiss Notice
Dismiss Notice
Join Physics Forums Today!
The friendliest, high quality science and math community on the planet! Everyone who loves science is here!

Compound Interest With Repayments problem

  1. Sep 5, 2011 #1
    1. A 30 year old employee on a starting salary of $20 000 per year pays 5% of this into a superannuation scheme to which the employer also contributes 5% of the employee’s salary. If the fund is compounding at 5% p.a., find the lump sum payout when the employee retires at 60.
    Note: This solution is a value in current dollars. As the person’s wage increases each year, so will the lump sum amount, and it is therefore tied to the inflation rate.
    y




    2. I have heard that this formula requires compund interest with repayments but am not sure of how to do it
     
  2. jcsd
Know someone interested in this topic? Share this thread via Reddit, Google+, Twitter, or Facebook

Can you offer guidance or do you also need help?



Similar Discussions: Compound Interest With Repayments problem
  1. Triangle Problem (Replies: 0)

  2. Hyperbola problem (Replies: 0)

Loading...