Answer Happy

You are a new employee with the Metro Daily Planet.
The
Planet offers three different retirement plans. Plan 1 starts the
first day
of work and puts $1,000 away in your retirement account at the end
of
every year for forty years. Plan 2 starts after ten years and
puts away
$2,000 every year for thirty years. Plan 3 starts after twenty
years and
puts away $4,000 every year for the last twenty years of
employment. All
three plans guarantee an annual growth rate of 8%.
a. Which plan should you choose if you plan to work at the Planet
for
forty years?
b. Which plan should you choose if you plan to work at the Planet
for
only the next thirty years?
c. Which plan should you choose if you plan to work at the Planet
for
only the next twenty years?
d. Which plan should you choose if you plan to work at the Planet
for
only the next ten years?
e. What do the answers in parts (a) through (d) imply about
savings?