3) What are Bob’s balance and Smith’s at their retirement age of 65?

ob & Smith:

There are two close friends named Bob & Smith and their ages are the same, 22 years old.

Bob has just begun his periodic beginning-of-the-year investment of $2,000 every year yielding 12 % annually and continues investing for 6 yrs, and then somehow decides to stop investing after 6 years. Smith however has not done any investment for the first 6 years. Now, having heard Bob stopped investing, Smith thought it is now his time and turn to start to invest the same periodic beginning-of-the-year investment of $2,000 earning the same 12% annually as Bob did. Btw, Bod did not withdraw his money balance from the investment pool so that the balance would grow at the annual 12% continuously.

Again, assuming the investment yields 12% annually and therefore the reinvestment rate of return is also 12% for both Bob and Smith:

Update:

 How long does it take for Smith’s balance to catch up with Bob’s?

3) What are Bob’s balance and Smith’s at their retirement age of 65?

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