Sean would like to begin planning for retirement. He has received as of his 50th birthday $225,000 from his grand parents, which he plans to deposit in a bank account. Sean is also willing to begin saving $6,000 on his 51st birthday, and increase that amount by 4% every year. He would like to avail $60,000 on his 60th birthday and keep getting an amount greater than that by 7.5% every year till his 65th birthday. What rate should his bank account earn for him to be able to do this? 1) 3.60% 2 3.00% (3 7.33% 4) 8.33%
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- Daryl wishes to save money to provide for his retirement. He is now 30 years old and will be retiring at age 64. Beginning one month from now, he will begin depositing a fixed amount into a retirement savings account that will earn 12% compounded monthly. Then one year after making his final deposit, he will withdraw $100,000 annually for 25 years. In addition, and after he passes away (assuming he lives 25 years after retirement) he wishes to leave in the fund a sum worth $1,000,000 to his nephew who is under his charge. The fund will continue to earn 12% compounded monthly. How much should the monthly deposits be for his retirement plan?Connor would like to start retirement savings program where he will contribute to an account that will accumulate tax free throughout his career. He expects to retire in exactly 20 years from today with the goal of having accumulated the amount of $2100000 in his retirement fund when he reaches his future retirement age.In order to meet his goal, he will begin making MONTHLY contributions to a special account devoted to the retirement goal. Contributions to this account will begin one month from today, and will continue placing equal monthly amounts into his retirement account for the next 20 years. What minimum amount needs to be placed in his account at the end of each month so that he'll reach his goal if the annual interest rate is 3.50%Ms. Ieda Silva plans to retire in 28 years and expects to live for 25 years after retirement. She is preparing a savings plan to meet the following objectives. First, after retirement she would like to be able to withdraw $20,000 per month. The first withdrawal will occur at the end of the first month after retirement. Second, she would like to leave her son an inheritance of $500,000 when she passes on. Finally, she would like to set up a fund that will pay $15,000 per month forever to her favorite charity after she passes on. These payments to the charity will start one month after she passes on. All monies can earn 10 percent annual rate compounded monthly. How much will she have to save per month to meet these objectives? She wishes to make the first deposit a month from now and the last deposit on the day she retires. A.$983.24 B.$1,105.11 C.$1,550.51 D.$1,202.17 E.$603.38 F.$430.71 G.$1,014.02 H.$1,306.52
- Bilbo plans to retire in 25 years (t=25) from today and to save $4,000 per month until his retirement with the first saving starting from today (t=0). He expects to have $2,000 monthly expense starting from the first month after year 25 (t=25) through year 50 (t=50). He also wants to leave an amount of inheritance to his son Frodo at year 50 (t=50). The discount rate for Bilbo’s entire life is 6% (APR). Suppose Bilbo strictly follows his financial plan, a) how much savings would Bilbo have in year 25 (t=25)? b) how much at most would Bilbo’s inheritance be in year 50 (t=50)? no excel pleaseMr. Wilks is 30 years old today and wants to set aside an equal amount at the end of each of the next 30 years into a retirement fund earning 10% p.a. so that he can retire at age 60. At retirement , the funds will be transferred to an investment account earning 6% p.a. He expects to live to age 80 and wants to be able to withdraw $375,000 per year from the account on his 61st through 80th birthdays. He also wants to leave $550,000 as an inheritance to his children at age 80. How much money will he need to save in his retirement account per year to achieve these objectives?Onin plans on retiring on his 60th birthday. He wants to put the same amount of funds aside each year for the next 20 years, starting next year so he will be able to withdraw 40,000 per year for the next 20 years when he retires with his first withdrawal on his 61st birthday. He is 30 years old today. How much must he set aside each year for his retirement if he can earn 10% compounded semi annually on his funds?
- Peter is 65 years old and has just attended his retirement party. He has amassed $1.50 million in retirement savings. He and his spouse have figured out that during retirement, they need to withdraw $100,000 at the end of each year from their retirement savings to maintain the standard of living that they would like to have. If they can earn 5% interest on the unspent balance in their retirement account, how many years will it be before their retirement savings are exhausted? O O 3 30 28 32 24 26 44 % 5 MacBook Pro (0 √ 2⁰ 00 * 8H. Today is Amy's 22th birthday. Starting today, Any plans to begin saving for her retirement, which she expects to be at age 68. Her plan is to contribute $6,000 to a brokerage account each year on her birthday.Her first contribution will take place today. Her final contribution will take place on her 67th birthday. Her grandpa has decided to help Amy with her savings, which is why he gave Amy $3,000 today as a birthday present to help get her account started. Assume that the account has an expected annual return of 8.9 percent. How much will Any expect to have in her account at retirement (on her 68th birthday)? Hint: think of the cash flow type, annuity DUE. Inputs: Output: Initial deposit: Future Balance Annual Contribution: Num of periods: Annual Return:When Joe graduated from college at age 22, his grandparents established a trust fund and endowed it with $10,000. The gift is intended to serve as a retirement fund for Joe, and he will be able to draw on it when he turns 62. If the fund earns a nine percent return over that period, what will it be worth when Joe reaches age 62? [submit your answer with a comma but no dollar signs]
- Nasser is saving for his retirement by making deposits of $1,400 on each birthday into a savings account starting on his 37th birthday and ending on his 44th birthday (inclusive). Given an effective annual rate of interest of 4.4%, how much will he accumulate by his 65th birthday?H. Today is Amy's 24th birthday. Starting today, Any plans to begin saving for her retirement, which she expects to be at age 68. Her plan is to contribute $6,000 to a brokerage account each year on her birthday. Her first contribution will take place today. Her final contribution will take place on her 67th birthday. Her grandpa has decided to help Amy with her savings, which is why he gave Amy $2,000 today as a birthday present to help get her account started. Assume that the account has an expected annual return of 8.6 percent. How much will Any expect to have in her account at retirement (on her 68th birthday)? Hint: think of the cash flow type, annuity DUE.Jerry wishes to retire at age 65. He wishes to receive an annuity that pays $50,000 per year continuously for 40 years. He can deposit $250,000 into an account at any age between 35 and 65. If 8-15%, at what exact age should he deposit the money so that it will completely fund the annuity with nothing left over?