512. (Calculating present value) (Related to Checkpoint 5.4 on page 173) Thomas Hill would like to have 1,500,000 at the time of his retirement, which is due in 40 years time. He has found a fixed income fund that pays 5 percent per annum. How much does he have to invest today? If he invests in a tracker fund that pays 15 percent per annum, how quickly can he retire?

Please avoid using excel so I can understand step by step the process and formulas.