Assume an investment has an 8% annual rate of return. How much money must be invested now to grow to $1,000,000 in 40 years?

A. $38,856.98

B. $58,345.75

C. $46,030.93

D. $85,843.21

Assume you want to start saving for retirement at age 25. You plan on investing $500 per month in a mutual fund that will earn 8% per year. How much will you have in your retirement account when you retire at age 65?

A. $242,545.78

B. $552,685.35

C. $780,853.98

D. $1,745,503.92