You wish to retire in 11 years, at which time you want to have accumulated enough money to receive an annual annulty of $26,000 for 16 years after retirement. During the period before retirement you can earn 12 percent annually, while after retirement you can earn 14 percent on your money. What annual contributions to the retirement fund will allow you to receive the $26,000 annuity? Use Appendix C and Appendix D for an approximate answer, but calculate your final answer using the formula and financial calculator methods. Note: Do not round Intermediate calculations. Round your final answer to 2 decimal places. Annual contribution
You wish to retire in 11 years, at which time you want to have accumulated enough money to receive an annual annulty of $26,000 for 16 years after retirement. During the period before retirement you can earn 12 percent annually, while after retirement you can earn 14 percent on your money. What annual contributions to the retirement fund will allow you to receive the $26,000 annuity? Use Appendix C and Appendix D for an approximate answer, but calculate your final answer using the formula and financial calculator methods. Note: Do not round Intermediate calculations. Round your final answer to 2 decimal places. Annual contribution
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 19P
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Question
![You wish to retire in 11 years, at which time you want to have accumulated enough money to receive an annual annulty of $26,000 for
16 years after retirement. During the period before retirement you can earn 12 percent annually, while after retirement you can earn 14
percent on your money.
What annual contributions to the retirement fund will allow you to receive the $26,000 annuity? Use Appendix C and Appendix D for
an approximate answer, but calculate your final answer using the formula and financial calculator methods.
Note: Do not round Intermediate calculations. Round your final answer to 2 decimal places.
Annual contribution](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F80d08017-6f25-43c6-a78b-eed053f907f3%2Fad4b2a10-9ddf-4834-a234-d6199a00ec06%2Fazput6_processed.jpeg&w=3840&q=75)
Transcribed Image Text:You wish to retire in 11 years, at which time you want to have accumulated enough money to receive an annual annulty of $26,000 for
16 years after retirement. During the period before retirement you can earn 12 percent annually, while after retirement you can earn 14
percent on your money.
What annual contributions to the retirement fund will allow you to receive the $26,000 annuity? Use Appendix C and Appendix D for
an approximate answer, but calculate your final answer using the formula and financial calculator methods.
Note: Do not round Intermediate calculations. Round your final answer to 2 decimal places.
Annual contribution
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