David\'s friend, Keanu, has hired a financial planner for advice on retirement.

Question

David's friend, Keanu, has hired a financial planner for advice on retirement. Considering Keanu's current expenses and expected future lifestyle changes, the financial planner has stated that once Keanu crosses a threshold of $4,991,331 in savings, he will have enough money for retirement. Keanu has nothing saved for his retirement yet, so he plans to start depositing $85,00 in a retirement fund at a fixed rate of 12.00%at the end of each year. It will take ____________ years for Keanu to reach his retirement goal.

Explanation / Answer

Rate 12% FV 4991331 PMT 85000 NPER                                                  18.40 Years =NPER(12%,-85000,,4991331) Note: since deposit mentioned is $85,00 It is probable that one 0 is omitted while typing the question So I have given answer for both the situations, if question has correct data then please take your ans as 37.67 given below, otherwise answer should be 18.40 years as given above, please check the data of your question. Rate 12% FV 4991331 PMT 8500 NPER                                                  37.67 Years =NPER(12%,-8500,,4991331)

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