You Want to Retire with $370 000 in the Bank

question 139

Multiple Choice

You want to retire with $370 000 in the bank and you are able to earn 4.84% compounded quarterly for the next 25 years. You currently have $175 000 saved up. How much more do you have to invest in 15 years in order to achieve your goal?

• A) $100 649.58
• B) $110 649.58
• C) $120 649.58
• D) $130 649.58
• E) $0.00

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Definitions:

Closed Economies

Economies that do not engage in international trade, relying solely on domestic production for all of their goods and services.

Net Capital Outflow

The difference between the purchase of foreign assets by domestic citizens and the purchase of domestic assets by foreigners.

Net Exports

The surplus or deficit resulting from a country's international trade, calculated as exports minus imports.

Foreign Direct Investment

Foreign Direct Investment (FDI) involves an investment made by a firm or individual in one country into business interests located in another country.