PLEASE SOLVE USING EXCEL AND SHOW THE STEPS
(a) Rae started saving money at an early age (10 years old). Each month, her mom put the money in an account that compounded annually at 5.75%. Now Rae is 23 and has $6936.72. How much did she save each month? (Assume she saved for a full 13 years).
(b) You have just started a new job that offers a retirement savings account. You have two options:
You can invest 5% of your monthly wages at 2% OR You can invest 4% of your monthly wages at 4%. Both are compounded monthly.
Assume that you will always make $45,000 annually, which plan will give you a better return after 25 years and how much will you have saved with the plan?