You currently have $48,000 in your bank account,which pays annual interest of 5%,and you are saving up to buy a brand new $150,000 Jaguar convertible.In how many years will you have enough money to buy the car?
A) 26.0 years
B) 25.0 years
C) 18.0 years
D) 20.0 years
E) 24.0 years

Question

Quizplus · Accepted Answer

Using a financial calculator:
I/Y = 5%, PV = -48,000, PMT = 0, FV = 150,000, cpt N = 23.35 or 24 years

You Currently Have $48,000 in Your Bank Account,which Pays Annual