The amount of money the couple will live on annually in retirement is The additional amount of principal needed for retirement is
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A: Present Value = Future Value / [ 1 + Peroidic Interest rate ]Number of periods
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A: Formula:
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- Carla Lopez deposits $5, 200 a year into her retirement account. If these funds have an average eaning of 6 percent over the 40 years until her retirement, what will be the value of her retirement account?An employee wants to retire and receive P 5 000 a month. She wants to pass this monthly payment to future generations after her death. She can earn an interest of 8% compounded annually? How much will she need to set aside to achieve her perpetuity goal?A couple is saving for retirement with three different accounts. The table below shows the current balances in their accounts, along with their yearly contribution, and the yearly return on each account. The couple will retire in 23.00 years and pool the money into a savings account that pays 3.00% APR. They plan on living for 28.00 more years and making their yearly withdrawals at the beginning of the year. What will be their yearly withdrawal? Yearly Contribution $1,000.00 $10,000.00 Account Fidelity Mutual Fund Vanguard Mutual Fund Employer 401k Balance $23,186.00 $180,962.00 $315,917.00 Submit Answer format: Currency: Round to: 2 decimal places. $15,000.00 APR 6.00% 8.00% 6.00%
- Mrs. Nash will contribute $200 to her RRSP at the end of each month for 15 years. How much more will she have for retirement if she contributes $225 at the end of each month for the same period of time, if her investments earn 11.7% compounded monthly? O 24,279.46 O 12,139.73 O 43.281.90 O 21,640.95You have just made your first $5,000 contribution to your individual retirement account. Assuming you earn an annual rate of return of 9.75 percent and make no additional contributions, what will your account be worth when you retire in 45 years?Assume that A contributes $2 000 every end of the year into a retirement account paying 8%. If A retires in 30 years, how much will she have?
- Your parents are planning to save for their retirement. A retirement plan is a financial arrangement made by an individual, employees/employers, insurance companies, and other institutions to replace employment income upon retirement. They target to accumulate P5000,000 in 10 years. To do this, they want to set aside a portion of their salaries and contribute monthly for their retirement funds. How much should they contribute per month if they have a chance to invest in an annuity that earns 5% compounded quarterly.A person has an individual retirement account that they contribute | . $2,150 to annually at the end of each year. The person wants to retire after making 35 annual contributions to the account. Assuming that the account earns 12% interest annually, using the Future Value of an Annuity of 1 table, compute the value of the account on the date of the final contribution (35 years from the present).a couple has 25,000 in their retirement savings today. How many years do they have to save at 6%, putting in 1,000 at the begining of each year to achieve 80,000
- You have just made your first $4,500 contribution to your individual retirement account. Assume you earn an annual return of 11.3 percent and make no additional contributions. What will your account be worth when you retire in 39 years?You wish to retire after 22 years; at which time you want to have accumulated enough money to receive an annuity of $68,000 a year for 25 years of retirement. During the period before retirement, you can earn 6 percent annually, while after retirement you can earn 4 percent on your money. What annual contribution to the retirement fund will allow you to receive the $68,000 annually?A couple plans to retire in 25 years. At that time, they would like to have enough money in an account so that they can receive a $3,600 every month end for 20 years. The account earns APR 5.8% and will continue to do so until there is a zero balance in the account. To achieve this goal, how much money does the couple need to have in this account by the time they retire? (calculate to cents.)
