What happens if you delay start of savings for five years

Reference no: EM131380333

Assignment

Please fix this before proceeding to next task I have attached the spreadsheet.

Your calculations were all correct except that the car loan in parts 1 & 2 should have been for six years instead of five.

Part 2 A (must be completed in Excel)

Analysis: Using the budget in part 1; Use as many time lines as you need forecast all your projected savings(investments) to get each investments future value. You will have to determine your PV, I/y, N, PMT then calc FV

If you don't have any idea on the I/y you could use 5 or 6% to be conservative. N depends on your current age and when you think you will retire.

Savings

401k or (403B) whichever you use

IRA's....

Home Ect.......

Once you add up all the future values from step 2 above, and do a time line to determine how much you will be able to spend each year assuming you are going to spend all your money. I.e. your future value will be 0. To calculate N, you have to make a lot of assumptions. For example, if you are planning on retiring at age 65 and think (hope) you will life until you are 90 (25 years) your N will be 25.

Part 2 B (must be completed in Excel)

Scenario Analysis:

Run at least 3 different scenarios to see the impact of decisions. Some examples may include:

What happens if you delay start of Savings for 5 years?

What happens if you work 3 more years?

What if the interest rate is higher/lower?

What if you have more to save after student loans are paid off?

Part 3 (must be turned in Word Via TurnItin)

Reflection

Once you are completed with the three sections above write a page or two on what you learned from this project. This is open ended but I expect at a minimum of 1 page as a write up. Reflection could include but is not limited to the following questions:

What did you learn?
Was there anything unexpected?
What changes will you be making as a result?
How do you plan on investing their funds - why? How often will you review the Plan?
What benefits are there to budgeting?
What specific changes will you make as a result of this assignment?

Please note: APA formatting required for all outside sources.

Attachment:- Amoritization_Table_Lequisha_Seldon.xls

Reference no: EM131380333

Questions Cloud

Describe three significant threats-hazards of your plan : The HSEEP discusses a number of types of capabilities throughout its chapters and volumes. (These are not captured in one specific area within the materials.) Describe and provide specific examples for capabilities that prevent, protect against, a..

Labor unions beneficial or harmful for our economy : "Should a company ever produce a good or service if the managers know it will lose money?" In your opinion, are labor unions beneficial or harmful for our economy? Why? When disucssing wages, incomes and interest rates would you focus more on the rea..

What would be the effect of increasing the value of r : Using weights and distance, explain clearly why a certain output node will win the competition for the input of a certain record.

Significant for understanding human cognition : While their existence remains disputed, how might the existence of memory traces bear on developing new procedural and declarative memories? Why is this significant for understanding human cognition

What happens if you delay start of savings for five years : Finance 510- What happens if you delay start of Savings for 5 years? What happens if you work 3 more years? What if the interest rate is higher/lower? What if you have more to save after student loans are paid off?

Choose and describe at least five important stakeholders : The Federal Response to Hurricane Katrina Lessons Learned (February, 2006) recommended that the Department of Homeland Security (DHS) establish a National Exercise and Evaluation Program (NEEP). By extension, the NEEP designated the Homeland Secur..

Analyze the nature of the monthly seasonality of tape sales : Does there appear to be an upward trend in sales?- Analyze the nature of the monthly seasonality of tape sales.- Does an ad campaign appear to increase sales?

Understand this intuitively : Why is it that If the prices of x and y increase by the same percentage, the Hicksian demands for both goods do not change? Or that if price and income increase by the same percentage, there is no change in Hicksian demand? How would I understand thi..

Create a chart that displays seasonality of cranberry sales : Ignoring price, create a chart that displays the seasonality of cranberry sales.- Ignoring price, create a chart that shows whether there is an upward trend in sales.

User Account

All Pages