In my question, retirement fund equals 10million, formed by investing a certain amount for 35 years at end of each one at 8% return compounded annually.
For calculating “present value of the investments that you would be making into your retirement account”, PV was found by taking rate=0.08, n periods=35,payment made each period=-58032.65(calculated earlier) and fv=0.
What I don’t understand is why is fv=0 when future value is 10million?
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Does the question specifically say “present value of…”? Maybe the author messed up the wording.
Annual deposits of $58,032.65 for 35 years at 8% interest does indeed roll up to $10,000,000. 