Time value of money and retirement
Today, Sam and Elizabeth each have $600,000 in an investment account. No other contributions will be made to their investment accounts. Both have the same goal: They each want their account to reach $1 million, at which time each will retire. Sam has his money invested in risk-free securities with an expected annual return of 2%. Elizabeth has her money invested in a stock fund with an expected annual return of 8%. How many years after Elizabeth retires will Sam retire?