Moses' Goal, When He Retires from Work in Seven Years

Multiple Choice

Moses' goal, when he retires from work in seven years, is to have $400,000 in his Retirement Fund. Assuming he achieves his goal and the fund earns 7% compounded semi-annually after he retires, Moses will, at the end of every six months, take $20,000 out of his Retirement Fund. For how long will he be able to do that before the money runs out?

A) 15.4 years
B) 35.0 years
C) 20.0 years
D) 12.9 years
E) 17.5 years