Assignment
For this assignment, you will choose three things you would like to save for (ex: a car, a house, new tires, college, etc). After deciding what you would like to save for, research to figure out how much money you need to save for each item, choose appropriate investment accounts and make a savings plan. Use the chart below to help you plan.
Task
A. What three items are you saving to pay for? (Ex. car, house, new tires, college)
B. After researching, about how much money do you need to save?
C. Which of the following savings/investment account will you choose?
a. Savings Account: no minimum balance and 0.06% APR
b. Money Market: minimum balance of $2,500 and 1.6% APR
c. CD: 10 year requirement, 2.5% APR
d. US Bond: 5-year requirement, 2.8% APR
e. Apple Stock: search "Apple Stock" to see how much each share costs today in order to know how much money you'd have to invest to buy a share.
D. Explain why you chose the account(s) you chose in C.
E. Make a plan. How much will you save each month and how long will you save? Be detailed in your response.
F. Do you think this plan is realistic for you? Explain.