Business owner increases contributions

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Reference no: EM133641466

Question

A small business owner contributes $2,000 at the end of each quarter to a retirement account that earns 10% compounded quarterly.

1. How long will it be until the account is worth at least $150,000?

2. Suppose when the account reaches $150,000, the business owner increases the contributions to $4,000 at the end of each quarter. What will the total value of the account be after 15 more years?

Reference no: EM133641466

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