Who Will Win the Retirement Savings Race?
This is a race between a lowly Volkswagen and a Lamborghini. The Volkswagen represents a savings vehicle earning a boring but steady 5% interest rate, year in and year out. The Lamborghini represents an investment account generating a more exciting return of 8% annually in every year except for one. The challenge is to help the Volkswagen cross the finish line ahead of the Lamborghini before the race ends in 10 years. Begin by funding an account for the Volkswagen and the Lamborghini by entering an amount in the 1st yellow box. You must then decide in which of the next 10 years the Lamborghini will suffer a 30% loss.
|Volkswagen vs. Lamborghini|