How many years will it take

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Reference no: EM133980789

Problem

The couple are saving up for a down payment for their first home. They currently have $10,000 that they can invest in the stock market to help it grow. They need $22,000 for their down payment on a house. How many years will it take for their $10,000 to become $22,000, assuming a rate of 8.5% per year? Get the instant assignment help. If they were able to contribute $5,000 at the start of year 3, in addition to the $10,000 upfront now, how many years will it take for them to achieve $22,000 in savings? Assume it would all be earning a constant 8.5% return.

Reference no: EM133980789

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