Question

1-your client has $0 saving but wants to s start saving for retirement. how many years...

1-your client has $0 saving but wants to s start saving for retirement. how many years will it take him to reach $2500000 if he willing to deposit $450 per month in a fund that should earn an effective annual rate of 10.05%

2- if you start deporting a constant $200 per month in a particular fund, starting next month your advisor thinks you should have $1161842.28 forty years later. what effective annual rate of return EAR is the advisor assuming that the fund will provide?

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Answer #1

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Hence, It will take 39.87 or 40 years (478.42/12)

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