You want to retire on the day you have $900,000 in your savings account. You expect to earn 6 percent, compounded monthly, on your money during your retirement. Your plan is to withdraw $5,750 a month as retirement income from this account. How many years can you be retired until you run out of money? A) 24.75 B) 24.91 C) 25.20 D) 25.50 (Please try to explain by using a Financial Calculator)
You want to retire on the day you have $900,000 in your savings account. You expect to earn 6 percent, compounded monthly, on your money during your retirement. Your plan is to withdraw $5,750 a month as retirement income from this account. How many years can you be retired until you run out of money? A) 24.75 B) 24.91 C) 25.20 D) 25.50 (Please try to explain by using a Financial Calculator)
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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Question
You want to retire on the day you have $900,000 in your savings account. You expect to earn 6 percent, compounded monthly, on your money during your retirement. Your plan is to withdraw $5,750 a month as retirement income from this account. How many years can you be retired until you run out of money?
A) 24.75
B) 24.91
C) 25.20
D) 25.50
(Please try to explain by using a Financial Calculator)
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