SOLUTION: Tom, a graduate student, is considering investing $500 now, when he is 23, or waiting until he is 40 to invest $500. How much more money will he have at the age of 65 if he invest

Question 170114: Tom, a graduate student, is considering investing $500 now, when he is 23, or waiting until he is 40 to invest $500. How much more money will he have at the age of 65 if he invests now given that he can earn 5% interest compounded quarterly?
Answer by jojo14344(1513) (Show Source): You can put this solution on YOUR website!

Working eqn ----->
Where--->
*Note:
Then,Investing now @ 23 years old:

Investing @ 40 years old:

Therefore, amount of money he will have more then ---> , Answer
.
Thank you,
Jojo
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