Jimmie has a job at an advertising agency earning $54,000 per year. Jimmie is currently 26 years old and wishes to retire at age 67 with a retirement income of $75,000. How much money would Jimmie need to invest each month into a growth stock mutual fund with an interest rate of 6.5% in order to withdraw $75,000 per year without reducing the principal?

Jimmie has a job at an advertising agency earning $54,000 per year. Jimmie is currently 26 years old and wishes to retire at age 67 with a retirement income of $75,000. How much money would Jimmie need to invest each month into a growth stock mutual fund with an interest rate of 6.5% in order to withdraw $75,000 per year without reducing the principal?

Intermediate Algebra

10th Edition

ISBN:9781285195728

Author:Jerome E. Kaufmann, Karen L. Schwitters

Publisher:Jerome E. Kaufmann, Karen L. Schwitters

Chapter2: Equations, Inequalities, And Problem Solving

Section2.S: Summary

Problem 8S: What interest rate would you need to get to double an investment of 200 in eight years?

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