You’ve invested your savings at 8% and been able to accumulate $500,000. If you withdraw $50,000 at the end of every year, how long until the balance has been reduced to zero? a. 20.91 years b. 10.00 years c. 18.49 years d. 13.91 years e. 7.63 years
You’ve invested your savings at 8% and been able to accumulate $500,000. If you withdraw $50,000 at the end of every year, how long until the balance has been reduced to zero? a. 20.91 years b. 10.00 years c. 18.49 years d. 13.91 years e. 7.63 years
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 1P
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Question
You’ve invested your savings at 8% and been able to accumulate $500,000. If you withdraw $50,000 at the end of every year, how long until the balance has been reduced to zero?
a.
20.91 years
b.
10.00 years
c.
18.49 years
d.
13.91 years
e.
7.63 years
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