SOLUTION: How much money should a young married couple invest now at a 6% annual rate if they want to have $100,000 in the bank when they reach retirement age in 40 years? (See the present v

Question 1162071: How much money should a young married couple invest now at a 6% annual rate if they want to have $100,000 in the bank when they reach retirement age in 40 years? (See the present value formula below. Round your answer to the nearest dollar.)
Answer by ikleyn(52777) (Show Source): You can put this solution on YOUR website!
.


Let X be that amount under the question.


Then your equation is


    100000 = ,   or


    100000 = .


Therefore, the answer is  


    X =  = 9722.22   dollars.

On compounded accounts, see the lesson
- Compounded interest percentage problems
in this site.

Learn the subject from there.

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