Problem 7-25 You wish to retire in 12 years and currently have $60,000 in a savings account yielding 4 percent annually and $90,000 in quality "blue chip" stocks yielding 12 percent. If you expect to add $20,000 at the end of each year to your stock portfolios, how much will you have in your retirement fund when you retire? Use Appendix A and Appendix C to answer the question. Round your answer to the nearest dollar.$ What rate of return must you earn on your retirement funds if you want to withdraw $102,000 per year for the next 15 years after retiring? Use Appendix D to answer the question. Round your answer to the nearest whole number. %
Problem 7-25 You wish to retire in 12 years and currently have $60,000 in a savings account yielding 4 percent annually and $90,000 in quality "blue chip" stocks yielding 12 percent. If you expect to add $20,000 at the end of each year to your stock portfolios, how much will you have in your retirement fund when you retire? Use Appendix A and Appendix C to answer the question. Round your answer to the nearest dollar.$ What rate of return must you earn on your retirement funds if you want to withdraw $102,000 per year for the next 15 years after retiring? Use Appendix D to answer the question. Round your answer to the nearest whole number. %
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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Problem 7-25
You wish to retire in 12 years and currently have $60,000 in a savings account yielding 4 percent annually and $90,000 in quality "blue chip" stocks yielding 12 percent. If you expect to add $20,000 at the end of each year to your stock portfolios, how much will you have in your retirement fund when you retire? Use Appendix A and Appendix C to answer the question. Round your answer to the nearest dollar.
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