Rate of return must earn in order to have required amount


Question: Mr. Fish wants to build a house in 10 years. He estimates that the total cost will be 170,000. If he can put aside 10,000 at the end of each year, what rate of return must he earn in order to have the amount needed?

A) Between 11% and 12%,

B) Between 8% and 9%,

C) 17%,

D) None of the above

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Finance Basics: Rate of return must earn in order to have required amount
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