A pack of cigarettes costs $5 and a person smokes a pack and a half a day. If he instead put that money in an investment that earns 12%, how much money would he have in 40 years?
(The answer will be posted with the new calculator problem in 2 weeks. Or if you can’t wait that long, you can go to http://www.facebook.com/pages/Gary-Johnston-Seminars/111368472221424 for the answer.)
Answer to 12-06-2010 problem:
$2002.43 (N=60, I=6, PV= -6000 PMT=0) (N=60, I=0.3, PV= -6000 PMT=0)