Question

Mary's 25th birthday is today, and she hopes to retire on her 65th birthday. She has...

Mary's 25th birthday is today, and she hopes to retire on her 65th birthday. She has determined that she will need to have $5,000,000 in her retirement savings account in order to live comfortably. Mary currently has no retirement savings, and her investments will earn 7% annually. How much must she deposit into her account at the end of each of the next 40 years to meet her retirement savings goal?

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Please upvote if the answer is helpful.In case of doubt,do comment.Thanks.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
You found your dream house. It will cost you $300000 and you will put down $50000...
You found your dream house. It will cost you $300000 and you will put down $50000 as a down payment. For the rest you get a 30-year 4.5% mortgage. What will be your monthly mortgage payment in $ (assume no early repayment)? Mary's 25th birthday is today, and she hopes to retire on her 65th birthday. She has determined that she will need to have $3,000,000 in her retirement savings account in order to live comfortably. Mary currently has no...
Your friend is celebrating her 25th birthday today and wants to start saving for her anticipated...
Your friend is celebrating her 25th birthday today and wants to start saving for her anticipated retirement at age 65( she will retire on her 65th birthday). She woukd like to be able to withdraw $60,000 from her savings account on each birthday for at least 25 years following her retirement (the first withdrawl will be on her 66th birthday). Your friend wants to invest her money in the local savings bank which offers 5.5% per year. She wants to...
Your friend is celebrating her 25th birthday today and wants to start saving for her anticipated...
Your friend is celebrating her 25th birthday today and wants to start saving for her anticipated retirement at age 65(she will retire on her 65th birthday). She would like to be able to withdraw $60,000 from her saving account on each birthday for at least 25 years following her retirement (the first withdrawl will be on her 66th birthday). Your friend intends to invest her money in the local savings bank which offers 5.5% per year. She wants to make...
Jessica plans to retire on her 65th birthday. But she plans to work part time until...
Jessica plans to retire on her 65th birthday. But she plans to work part time until she turns 70. During these years of part-time work she will neither make deposits to nor make withdrawals from her retirement account. Exactly one year after the day she turns 70 after retiring she will begin to make annual withdrawal of $117,281 from her account until she turns 89. After this final draw she wants $1.44 million remaining in her account. She will make...
Your friend Ellen is celebrating her 25th birthday (i.e., she is 25 today) and wants to...
Your friend Ellen is celebrating her 25th birthday (i.e., she is 25 today) and wants to start saving for her anticipated retirement at age 55. She wants to be able to withdraw $10,000 from her savings account on each birthday for 10 years following her retirement (the first withdrawal will be on her 56th birthday). Ellen intends to invest her money in the local saving bank, which offers 8% (EAR) interest per year. Suppose Ellen wants to make 24 deposits...
Today is your 25th birthday, and you want to save $1.1 Million by your birthday at...
Today is your 25th birthday, and you want to save $1.1 Million by your birthday at age 70. If you expect to earn 8% APR compounded monthly in your retirement account, what constant payment at the end of each month must you deposit into the account through your 70th birthday in order to reach your retirement savings goal on your 70th birthday? (Answer to the nearest penny.)
Today is your 25th birthday, and you want to save $2.3 Million by your birthday at...
Today is your 25th birthday, and you want to save $2.3 Million by your birthday at age 70. If you expect to earn 7% APR compounded monthly in your retirement account, what constant payment at the end of each month must you deposit into the account through your 70th birthday in order to reach your retirement savings goal on your 70th birthday? (Answer to the nearest penny.)
Today is Derek’s 25th birthday. Derek has been advised that he needs to have $3,491,566.00 in...
Today is Derek’s 25th birthday. Derek has been advised that he needs to have $3,491,566.00 in his retirement account the day he turns 65. He estimates his retirement account will pay 5.00% interest. Assume he chooses not to deposit anything today. Rather he chooses to make annual deposits into the retirement account starting on his 30.00th birthday and ending on his 65th birthday. How much must those deposits be?
today is dereks 25th birthday derek has been advised that he needs to have $2,407,780 in...
today is dereks 25th birthday derek has been advised that he needs to have $2,407,780 in his retirement account the day he turns 65. He estimates his retirement account will pay 7% interest .Assume he chooses not to deposit anything today. Rather he chooses to make annual deposits into the retirement account starting on his 29th birthday and ending on his 65th birthday. How much must those deposits be?
Today is Derek’s 25th birthday. Derek has been advised that he needs to have $2,570,420.00 in...
Today is Derek’s 25th birthday. Derek has been advised that he needs to have $2,570,420.00 in his retirement account the day he turns 65. He estimates his retirement account will pay 5.00% interest. Assume he chooses not to deposit anything today. Rather he chooses to make annual deposits into the retirement account starting on his 30.00th birthday and ending on his 65th birthday. How much must those deposits be?
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT