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Suppose you plan to have $70,000 in 20 years from now and you can invest your savings at 9% compounded continuously. Assuming you can save the same amount

Suppose you plan to have $70,000 in 20 years from now and you can invest your savings at 9% compounded continuously. Assuming you can save the same amount

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Suppose you plan to have $70,000 in 20 years from now and you can invest your savings at 9% compounded continuously. Assuming you can save the same amount of money each year, how much do you need to save on a yearly basis in order to achieve your goal? Hint: Treat your savings as an income stream. Yearly savings (exact value) = dollars Yearly savings (rounded to the nearest cent) = dollars
Transcribed Image Text:Suppose you plan to have $70,000 in 20 years from now and you can invest your savings at 9% compounded continuously. Assuming you can save the same amount of money each year, how much do you need to save on a yearly basis in order to achieve your goal? Hint: Treat your savings as an income stream. Yearly savings (exact value) = dollars Yearly savings (rounded to the nearest cent) = dollars
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