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The Rodriquez family is determined to purchase a $250,000 homewithout incurring any debt. The family...

The Rodriquez family is determined to purchase a $250,000 home without incurring any debt. The family plans to save $10000 a year for this purpose and expects to earn 1.6625 percent, compounded quarterly. How long will it be until the family can purchase a home?

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Expert Solution

rate positively .. let me know if you need any clarification.

We have to use finanical calculator to solve this  
put in calculator      
       
FV   250,000  
PV   0  
I   1.673%  
PMT   -10000  
       
Compute N                                 21.06  
       
ans =                                 21.06 Year

jeff jeffy answered 3 years ago
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