not use ai please don't Check my workeBookPrintReferencesA couple you know has 15 years until retirement. Like a lot of individuals and couples in the US, they haven't saved as much as they should have. They have a retirement fundbalance of $100,000. But they are convinced they can save $2,200 a month for the next 15 years. If they earn about a 6.5% APR on the money they invest, what will theirbalance be when they are ready to retire?Enter your answer as a regular dollar amount, rounded to the nearest whole dollar. Do not enter dollar signs, percent signs, or commas. If Connect adds those things, that'sokay. If you calculate a true negative number, use the negative sign.For example, if you calculate $4,378.9241, you will enter 4379. Or if you calculate $345.291, you will enter 345.1010Numeric Responsenot934510

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Pfin (with Mindtap, 1 Term Printed Access Card) (mindtap Course List)

7th Edition

ISBN:9780357033609

Author:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Publisher:Randall Billingsley, Lawrence J. Gitman, Michael D. Joehnk

Chapter14: Planning For Retirement

Section: Chapter Questions

Problem 2FPE

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Vijay
Your parents will retire in 18 years. They currently have $250,000 saved, and they think they will need $1,000,000 at retirement. What annual intrest rate must they earn to reach their goal, assuming they don't save any additional funds?
You have heard about the impending retirement crisis facing the global community and you want to take action so you don't become a victim of this crisis. You have decided to start contributing a constant amount of $380 into your retirement account every month, beginning one month from today. You plan to keep making that same monthly contribution for 40 years and then you will retire. If your investments earn a rate of return of 7.74 percent, how much do you expect to be in your retirement account the day you retire? $1,420,649 $1,230,765 $997,472 $1,103,344
Linda would like to have a retirement account with $3,000,000 in it on the day she retires 40 years from now. She is going to target a rate of return of 11.0% on her investments. How much does she need to invest each month, in order to reach her goal of $3,000,000 in 40 years? O $348.83 O $62,427.83 O $961.28 O $527.88
Imagine that you are a 65 year old woman and her husband has just retired with a combined retirement nest egg of 1.5 million. If they withdraw $120,000 at the end of each year, how many years will it be before they exhaust their retirement savings. Their retirement saving earns 4% interest. 15 16 17 14 18
Imagine you are a financial advisor to Valerie VanNess. Ms. VanNess wants to retire in 25 years. She wants to start saving an annual amount at the end of each year until she retires. She expects to live for another 20 years after she retires. During retirement she wants to withdraw $15,000 at the start of each year from a savings account. She can earn 10% per year on balances in this savings account. Please look up the meaning of an "annuity due". Write out the formula that calculates the PV of regular annuity. If you use the PV annuity formula, at what time/year is the PV placed? Write out the formula that calculates the FV of a regular annuity:_ When the FV is calculated, in what year is the FV placed? 1) Draw a timeline that clearly labels: a) Now b) The date Ms. VanNess will retire. c) The date Ms VanNess will stop withdrawing from the savings account. d) The yearly amounts she will withdraw (you do not need to draw the total number of withdrawals, but can indicate it somehow). 2)…
Imagine you are a financial advisor to Valerie VanNess. Ms. VanNess wants to retire in 25 years. She wants to start saving an annual amount at the end of each year until she retires. She expects to live for another 20 years after she retires. During retirement she wants to withdraw $15,000 at the start of each year from a savings account. She can earn 10% per year on balances in this savings account a. How much will Ms. VanNess have to deposit in the savings account at the end of each year for the next 25 years, if the interest rate is 10%, compounded annually? b. How would the yearly deposits be changed if Ms VanNess expects her cat to live for another five years after her death, and she wants to leave an amount in an account that will be used to pay the cat sitter $5500 at the start of each year, for those five years. (Draw a new timeline, or add to your timeline above).
You just received $225,000 from an insurance settlement. You have decided to set this money aside and invest it for your retirement. Currently, your goal is to retire 25 years from today. How much more will you have in your account on the day you retire if you can earn an average return of 10.5 percent rather than just 8 percent?
Sarah Wiggum would like to make a single investment and have $1.7 million at the time of her retirement in 40 years. She has found a mutual fund that will earn 6 percent annually. How much will Sarah have to invest today? If Sarah invests that amount and could earn a 13 percent annual return, how soon could she retire, assuming she is still going to retire when she has $1.7 million? To have $1.7 million at retirement, the amount Sarah must invest today is $_________(Round to the nearest cent.) see attachment for PVIF table
Please show proper steps thanks
This is a classic retirement problem. A friend is celebrating her birthday and wants to start saving for her anticipated retirement. She has the following years to retirement and retire- ment spending goals: Years until retirement: Amount to withdraw each year: Years to withdraw in retirement: Interest rate: 30 $90,000 20 8% Because your friend is planning ahead, the first withdrawal will not take place until one year after she retires. She wants to make equal annual deposits into her account for her retirement fund. a. If she starts making these deposits in one year and makes her last deposit on the day she retires, what amount must she deposit annually to be able to make the desired withdrawals at retirement?
You are trying to decide how much to save for retirement. Assume you plan to save $5,000 per year with the first investment made one year from now. You think you can earn 10% per year on your investments and you plan to retire in 43 years, immediately after making you last $5,000 investment. c. If you hope to live for 20 years in retirement, how much can you withdraw every year in retirement (starting one year after retirement) so that you will just exhaust your savings with the 20th withdrawal (assume your savings will continue to earn 10% in retirement)? d. If, instead, you decide to withdraw $300,000 per year in retirement (again with the first withdrawal one year after retiring), how many years will it take until you exhaust your savings?

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