BUSINESS ADMINISTRATION
BUSINESS MATHEMATICS
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Planning for retirement
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Next month’s vacation
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A new car
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Opening a business in the next 6 months
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Detailed explanation-1: -Retirement savings is a top priority for many savers. Saving now for retirement will ensure that you have enough money to enjoy a comfortable standard of living when you stop or reduce the amount of hours you work. You may be able to save for retirement at your workplace through a 401k plan.
Detailed explanation-2: -The biggest difference between saving and investing is the level of risk taken. Saving typically results in you earning a lower return but with virtually no risk. In contrast, investing allows you the opportunity to earn a higher return, but you take on the risk of loss in order to do so.
Detailed explanation-3: -Put simply, the earlier you start saving for retirement, the more money you will end up with-to an exponential degree-and the less capital you’ll need to put into your savings. Each year of early investment brings you closer to retiring on your terms, and puts you ahead of most of your peers.