If someone begins working at $10 an hour. Each year he gets a raise of $1/hour. He's working 40 hours a week and 52 weeks a year. He deducts 10,000 a year for living expenses, and puts the rest in an investment that yields 4% compounded annually.
How many years will it take him to have saved $300,000 in his investment?
Thanks a bunch!
Does this make any sense?
Make 3columns. The first column is how much he makes (his hourly rate times 2080 hours/year worked) The second column is how much he puts in his savings account. The third column is how much he has in the acount at the end of the year.
Start on the 1'st row with $20800 $10900 and $10900. Then just keep adding rows for weach year until the total in the 3'rd column is $300,000
How many years will it take him to have saved $300,000 in his investment?
Thanks a bunch!
Does this make any sense?
Make 3columns. The first column is how much he makes (his hourly rate times 2080 hours/year worked) The second column is how much he puts in his savings account. The third column is how much he has in the acount at the end of the year.
Start on the 1'st row with $20800 $10900 and $10900. Then just keep adding rows for weach year until the total in the 3'rd column is $300,000