Question: Ten years ago Sandi made a commitment to accumulate $500,000 by investing $350 at the beginning of every month for as long as it takes.

Ten years ago Sandi made a commitment to accumulate $500,000 by investing $350 at the beginning of every month for as long as it takes. For the first 10 years she has been earning 13% compounded semiannually. She is now moving all of her money to a safer investment that will earn 9.6% compounded monthly. She is continuing to invest the $350 per month.

How much more time will it take Sandi to reach $500,000?

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To determine how much more time it will take for Sandi to reach 500000 we can use the formula for compound interest A P x 1 rnnt Where A the future value of the investment in this case 500000 P the pr... View full answer

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