Question

A client has $202,971.39 in an account that earns 10% per year, compounded monthly. The client’s...

A client has $202,971.39 in an account that earns 10% per year, compounded monthly. The client’s 35thbirthday was yesterday and she will retire when the account value is $1 million. At what age can she retire if she puts $230 per month into the account every month, beginning one month from today?

Select one:

a. 58

b. 45

c. 55

d. 50

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Homework Answers

Answer #1

Hence, It will take 15 years (180/12)

Hence, correct option is d. 50 (35+15)

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