document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1077417>Question 1077417</A>: <I><SPAN STYLE=\"word-break: break-all;\">  Jill and Bill are the same age. Jill inherits $20,000 when she is 25, and invests it in an account earning 5% annual interest rate, compounded annually. Bill receives a $20,000 bonus at age 35, and then invests it in an account which also earns a 5% annual interest rate, compounded annually. How much more money does Jill have than Bill at age 50?  </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #691883 by </B><A HREF=/tutors/aboutme.mpl?userid=josmiceli><B>josmiceli(19441)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=josmiceli><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=josmiceli><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=691883\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> The formula for annual compound interest, including principal sum, is:<BR>\n" );
document.write( "A = P (1 + r/n) (nt)\r<BR>\n" );
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document.write( "Where:\r<BR>\n" );
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document.write( "A = the future value of the investment/loan, including interest<BR>\n" );
document.write( "P = the principal investment amount (the initial deposit or loan amount)<BR>\n" );
document.write( "r = the annual interest rate (decimal)<BR>\n" );
document.write( "n = the number of times that interest is compounded per year<BR>\n" );
document.write( "t = the number of years the money is invested or borrowed for<BR>\n" );
document.write( "--------------------------------------------------------------------<BR>\n" );
document.write( "From age 25 to age 50, Jill's futute value is:<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B1%5D+=+20000%2A%28+1+%2B+.05+%29%5E25+ ALIGN=MIDDLE  ALT=\"+A%5B1%5D+=+20000%2A%28+1+%2B+.05+%29%5E25+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "From age 35 to age 50, Bill's future value is:<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B2%5D+=+20000%2A%28+1+%2B+.05+%29%5E15+ ALIGN=MIDDLE  ALT=\"+A%5B2%5D+=+20000%2A%28+1+%2B+.05+%29%5E15+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "------------------------------------------<BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B1%5D+-+A%5B2%5D+=+20000%2A%28+1+%2B+.05+%29%5E25+-+20000%2A%28+1+%2B+.05+%29%5E15+ ALIGN=MIDDLE  ALT=\"+A%5B1%5D+-+A%5B2%5D+=+20000%2A%28+1+%2B+.05+%29%5E25+-+20000%2A%28+1+%2B+.05+%29%5E15+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B1%5D+-+A%5B2%5D+=+20000%2A%28+1.05%5E25+-+1.05%5E15+%29+ ALIGN=MIDDLE  ALT=\"+A%5B1%5D+-+A%5B2%5D+=+20000%2A%28+1.05%5E25+-+1.05%5E15+%29+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B1%5D+-+A%5B2%5D+=+20000%2A%28+3.386355+-+2.078928+%29+ ALIGN=MIDDLE  ALT=\"+A%5B1%5D+-+A%5B2%5D+=+20000%2A%28+3.386355+-+2.078928+%29+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B1%5D+-+A%5B2%5D+=+20000%2A1.307427+ ALIGN=MIDDLE  ALT=\"+A%5B1%5D+-+A%5B2%5D+=+20000%2A1.307427+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" SRC=/cgi-bin/plot-formula.mpl?expression=+A%5B1%5D+=+A%5B2%5D+=+26148.54+ ALIGN=MIDDLE  ALT=\"+A%5B1%5D+=+A%5B2%5D+=+26148.54+\"   DISABLED_style= \"max-width:90%; height:auto;\" ><BR>\n" );
document.write( "Jill has $26,148.54 more than Bill at age 50<BR>\n" );
document.write( "-----------------------<BR>\n" );
document.write( "Check my math & get another opinion if you like<BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );