Sarah wiggum would like to make a single investment and


Sarah Wiggum would like to make a single investment and have $1.7 million at the time of her retirement in 28 years. She has found a mutual fund that will earn 5 percent annually.How much will Sarah have to invest today? If Sarah earned an annual return of percent, how soon could she then retire?

a. If Sarah can earn 5 percent annually for the next 28 years, the amount of money she will have to invest today is $_________ (Round to the nearest cent)

b. If Sarah can earn an annual return of 17 percent, the number of years until she could retire is _______ years. (Round to one decimal place)

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