Question
In 6 years you are planning on retiring and buying a house in Oviedo, Florida. The house you are looking at currently costs $140,000 and
In 6 years you are planning on retiring and buying a house in Oviedo, Florida. The house you are looking at currently costs $140,000 and is expected to increase in value each year at a rate of 4 percent. Assuming you can earn 9 percent annually on your investments, how much must you invest at the end of each of the next 6 years to be able to buy your dream home when you retire?
a. If the house you are looking at currently costs $140,000 and is expected to increase in value each year at a rate of 4 percent, what will the value of the house be when you retire in 6 years?
b. Assuming you can earn 9 percent annually on your investments, how much must you invest at the end of each of the next 6 years to be able to buy your dream home when you retire?
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Secured Finance Transactions
Authors: Dominic RM Griffiths
2nd Edition
1787425142, 978-1787425149
