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1. Alejandro knows that he needs $32,100 per year to live comfortably now. He plans to retire in about 39 years and plans to
1. Alejandro knows that he needs $32,100 per year to live comfortably now. He plans to retire in about 39 years and plans to be retired for about 23 years after that. Determine... a. [2 pts] how much he needs each year to maintain his current standard of living when he retires 39 years from now assuming 3% inflation. b. [5 pts] how much he needs to have in his retirement account to be paid out the annual amount from (a) each year for 23 years if the account earns 5% annual interest compounded annually and payments adjust annually for inflation - so he can maintain his standard of living. c. [5 pts] how much he needs to invest each month at 6% annual interest compounded monthly over the next 39 years in order to have the amount in (b). d. [5 pts] how much interest he earned over the course of the 62 years. e. [4 pts] Alejandro sees that he can't afford to make the payments you found in part (c); describe at least 2 things Alejandro could do in order to still be able to afford to retire?
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