Suppose you plan to have $50,000 in 15 years from now and you can invest your...

 

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Suppose you plan to have $50,000 in 15 years from now and you can invest your savings at 5% 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) 3723 dollars X Yearly savings (rounded to the nearest cent)-2295.04 x dollars Suppose you plan to have $50,000 in 15 years from now and you can invest your savings at 5% 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) 3723 dollars X Yearly savings (rounded to the nearest cent)-2295.04 x dollars

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To determine the yearly savings amount needed to achieve 50000 in 15 ... View the full answer