Saving $100 Per Month from Age 20 to Age 70

question 44

True/False

Saving $100 per month from age 20 to age 70 with an eight percent return will give you over three quarter million dollars.

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Definitions:

Lump Sum

A single payment made at a particular time, as opposed to multiple payments over time.

Installment Loan

is a type of loan that is repaid over time with a set number of scheduled payments, typically monthly.

Outstanding Principal

The remaining amount of money borrowed on a loan or bond that has not yet been repaid.

Equity Capital

Funds raised by a company in exchange for a share of ownership in the company.