Assume that you contribute $150 per month to a retirement plan for 20 years. Then you can increase the contribution to $274 per month for another 20 years, and finally, $424 per month for the last 10 years. Given a 7 percent interest rate, what is the value of your retirement plan after the 50 years? Note: Do not round intermediate calculations and round your final answer to 2 decimal places. Value of retirement assets

Assume that you contribute $150 per month to a retirement plan for 20 years. Then you can increase the contribution to $274 per month for another 20 years, and finally, $424 per month for the last 10 years. Given a 7 percent interest rate, what is the value of your retirement plan after the 50 years? Note: Do not round intermediate calculations and round your final answer to 2 decimal places. Value of retirement assets

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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You deposit $11,600 annually into a life insurance fund for the next 10 years, at which time you plan to retire. Instead of a lump sum, you wish to receive annuities for the next 20 years. What is the annual payment you expect to receive beginning in year 11 if you assume an interest rate of 8 percent for the whole time period? (Do not round Intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16)) Annuities per year over the next twenty years
5) Consider a whole life annuity-due of 46,000 per year issued to a life age 65. Calculate the probability that the sum of total undiscounted benefit payments is greater than the expected present value of the annuity at issue. Use the SULT with 5% interest.
Assume that you contribute $280 per month to a retirement plan for 25 years. Then you are able to increase the contribution to $480 per month for the next 25 years. Given a 7.2 percent interest rate, what is the value of your retirement plan after the 50 years? Note: Do not round intermediate calculations and round your final answer to 2 decimal places.
At age 30, to save for retirement, you decide to deposit $300 into an IRA at the end of each month at an interest rate of 6% per year compounded monthly. How much will you have from the IRA when you retire at age 65? Use this formula: Find how much of the total amount is from interest.
ANSWER ASAP THE SUBQUESTIONS
Assume that you contribute $390 per month to a retirement plan for 15 years. Then you are able to increase the contribution to $780 per month for another 25 years. Given a 6.0 percent interest rate, what is the value of your retirement plan after the 40 years?
c) Retirement Investment: Savings at Retirement = Saving Periods = Interest Rate = Savings Deposit / month= monthly deposits / month
Assume you contribute $210 per month to a retirement plan for 15 years. If contribute nothing else, and assuming a 6.4% interest rate, what is the value of the retirement plan 40 years from today? (Keep 2 decimals. For example, 1,008.51)
Suppose you plan to retire in 40 years. If you make annual contributions of $12,000 into your retirement account for the first 8 years, and no more contributions to the account for the remaining 32 years. If the retirement account earns a fixed 6% annual interest, how much will you have at your retirement? Question 10 options: $739,166 $766,466 $793,766 $811,766 $829,766 $851,966
What is the future value of a 6%, 5-year ordinary annuity that pays $450 each year? Do not round intermediate calculations. Round your answer to the nearest cent. If this were an annuity due, what would its future value be? Do not round intermediate calculations. Round your answer to the nearest cent
You deposit $11,700 annually into a life insurance fund for the next 10 years, at which time you plan to retire. Instead of a lump sum, you wish to receive annuities for the next 20 years. What is the annual payment you expect to receive beginning in year 11 if you assume an interest rate of 7 percent for the whole time period? (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16)) Annuities per year over the next twenty years Help
Suppose a 20 year old individual would like to retire at age 65 with a retirement account that pays you $5k monthly for the next 20 years. How much should this person deposit monthly in order to make this possible? Assume that the annual interest rate is 7%, compounded monthly.

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