QuestionKathy invests 20% of her paycheck since age 20. Mark started at 35. Together they have \$1,455,000. Find their savings.
Studdy Solution
STEP 1
Assumptions1. Kathy's retirement savings is four times Mark's retirement savings. . The total retirement savings of Kathy and Mark is $1,455,000.
STEP 2
Let's denote Kathy's retirement savings as and Mark's retirement savings as . According to the problem, Kathy's savings is four times Mark's savings. We can write this as
STEP 3
The total retirement savings of Kathy and Mark is $
STEP 4
Now we have a system of two equations. We can solve this system by substitution. First, substitute into the second equation
STEP 5
implify the equation
STEP 6
olve the equation for
STEP 7
Calculate the value of
STEP 8
Now that we have the value of , we can find the value of by substituting into the first equation
STEP 9
Substitute into the equation
STEP 10
Calculate the value of Kathy's retirement savings is 291,000.
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