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6. Laura retired from her job recently, and she has saved about $500,000 over thecourse of her career. She plans to withdraw $2,000 each month to pay for livingexpenses. After a certain amount of time, the balance in Laura's account is $276,000.How many months has it been since Laura retired?

User TFrost
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Answer

Laura has been retired for 112 months = 9 years, 4 months.

Step-by-step explanation

We are told that Laura had saved about $500,000 over the course of her career. She plans to withdraw $2,000 each month for living expenses.

After a certain amount of time, the balance in Laura's account was $276,000.

We are then told to find the number of months it has been since Laura retired.

Let the number of months since Laura has retired be x months.

If she keeps withdrawing $2000 monthly, in x months, she would have withdrawn $2000 × x = (2000x) dollars

And we know that

(Initial amount in the account) - (Amount that she has withdrawn) = (Amount left in the account)

Initial amount in the account = $500,000

Amount that she has withdrawn = (2000x) dollars

Amount left in the account = $276,000

(Initial amount in the account) - (Amount that she has withdrawn) = (Amount left in the account)

500,000 - 2000x = 276,000

-2000x = 276,000 - 500,000

-2000x = -224,000

Divide both sides by -2000

(-2000x/-2000) = (-224,000/-2000)

x = 112 months

Hope this Helps!!!

User Laporsha
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