Suppose you wish to retire in 43 years on a fixed income equiva- lent to $66,000.00 in today's dollars. Also suppose that inflation over the coming years is 2.4 percent on average. How much money, per year, will you need to invest starting now, with zero initial investment, to attain the necessary nest egg for retirement if your investment pays a 5.2 percent yield? Round your answer to the nearest dollar.

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
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Suppose you wish to retire in 43 years on a fixed income equiva-
lent to $66,000.00 in today's dollars. Also suppose that inflation
over the coming years is 2.4 percent on average. How much
money, per year, will you need to invest starting now, with zero
initial investment, to attain the necessary nest egg for retirement
if your investment pays a 5.2 percent yield?
Round your answer to the nearest dollar.
Transcribed Image Text:Suppose you wish to retire in 43 years on a fixed income equiva- lent to $66,000.00 in today's dollars. Also suppose that inflation over the coming years is 2.4 percent on average. How much money, per year, will you need to invest starting now, with zero initial investment, to attain the necessary nest egg for retirement if your investment pays a 5.2 percent yield? Round your answer to the nearest dollar.
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