Question

Deryl is saving money for his retirement. Beginning one month from now, he will begin depositing a fixed amount into a retirement account that will earn 12% compounded monthly. He will make 360 such deposits. Then, one month after making his final deposit, he will start withdrawing $8,000 monthly for 25 years. The fund will continue to earn 12% companded mon hly How large should Deryl's monthly deposits be to achieve his retirement goal? A. $190 B. $214 C. $200 D. $217 E. none of the above

Answer #1

Daryl wishes to save money to provide for his retirement. He is
now 30 years old and will be retiring at age 64. Beginning one
month from now, he will begin depositing a fixed amount into a
retirement savings account that will earn 12% compounded monthly.
Then one year after making his final deposit, he will withdraw
$100,000 annually for 25 years. In addition, and after he passes
away (assuming he lives 25 years after retirement) he wishes to
leave...

Daryl wishes to save money to provide for his retirement. He is
now 30 years old and will be retiring at age 64. Beginning one
month from now, he will begin depositing a fixed amount into a
retirement savings account that will earn 12% compounded monthly.
Then one year after making his final deposit, he will withdraw
$100,000 annually for 25 years. In addition, and after he passes
away (assuming he lives 25 years after retirement) he wishes to
leave...

Problem
Daryl wishes to save money to provide for his retirement. He is
now 30 years old and will be retiring at age 64. Beginning one
month from now, he will begin depositing a fixed amount into a
retirement savings account that will earn 12% compounded monthly.
Then one year after making his final deposit, he will withdraw
$100,000 annually for 25 years. In addition, and after he passes
away (assuming he lives 25 years after retirement) he wishes to...

Daryl wishes to save money to provide for his retirement.
Beginning one year from now, Daryl will begin depositing the same
fixed amount each year for the next 30 years into a retirement
savings account. Starting one year after making his final deposit,
he will withdraw $100,000 annually for each of the following 25
years (i.e. he will make 25 withdrawals in all). Assume that the
retirement fund earns 12% annually over both the period that he is
depositing money...

A year from now, you plan to begin saving for your retirement by
depositing $20,000 into a new savings account that has an expected
return of 5.75% compounded monthly. You plan to continue depositing
the same amount each year until you retire in 35 years. You expect
to make withdrawals from your savings account every month for 40
years after you retire. Assume you were asked to find the amount
you will be able to withdraw each month from your...

A week from now, you plan to begin saving for your retirement by
depositing $200 into a new savings account that has an expected
return of 7.75% compounded monthly. You plan to continue depositing
the same amount each week until you retire in 40 years. You expect
to make withdrawals from your savings account every year for 35
years after you retire. Assume you were asked to find the amount
you will be able to withdraw each year from your...

After graduating college, Jon finds a job and decides to start
saving for retirement. He deposits 1180 at the end of each month
into a retirement account that pays 5.8% interest compounded
monthly. After 5 years, he moves the investment to a mutual fund
which pays 7.3% compounded monthly and increases his monthly
deposit to 2000.
Find the amount Jon will have on deposit 5 years after that (10
years after graduation).

You wish to save money to provide for retirement. Beginning one
year from now, you will begin depositing a annual fixed amount into
a retirement savings account that will earn 8% annually. You will
make 30 such deposits. Then, one year after making the final
deposit, you will withdraw $100,000 annually for 20 years (no more
deposits). You wish to have $50,000 left in the account after the
20-year retirement period ends (note that this final cash flow has
the...

Sam is just starting his career and wants to begin saving for
retirement. Sam estimates he will need to withdrawal $8000/month to
live comfortably while retired and based on life expectancy this
would last for 25 years. If he begins saving in 2020 and makes
annual contributions growing at 4%, how much will he need to make
his first contribution to reach his retirement goal by 2060? Sam’s
retirement investments are expected to earn a 9% return (both
before AND...

Ron is planning for retirement and hopes to make withdraws of
$3,600 at the end of each month for 13 years once he's retired. He
plans on retiring in 20 years.
(a) Find the amount that Ron must have in his
retirement account in 20 years from now in order to achieve his
financial retirement goal assuming that once he is retired he will
earn 5% compounded monthly.
(b) If Ron plans to work for another 20 years
and also...

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