Question

Anne plans to save $40 a week, starting next week,for ten years and earn a rate of return of 4.6 percent, compounded weekly. After the ten years, she will discontinue saving and invest her account at 6.5 percent, compounded annually. How long from now will it be before she has accumulated a total of $50,000?

Answer 1

How long from now will it be before she has accumulated a total of $50,000?

20 year

10 year to annuaty

10 years to saving

Step-by-step explanation:

FVOrdinary Annuity​=C*(1+i)n-1/i

FVOrdinary Annuity​=40*(1+4,6%/52)10*52-1/4,6%/52

Fvordinary Annuaty=26395

F = P ( 1 + i * n )

F=26395(1+I)>n

VP 26395

1

%Interest 6,50%

1+i 1,065

n 11

Potentiation 1,999151401

FV 52767,60122