(10 points) The Company you work for will deposit $750 at the end of each month into your retirement fund. Interest on the fund is compounded monthly. You plan to retire 31 years (372 months) from now and estimate that you will need $9,250 per month out of that account for 27 years after retirement. If the account earns 6.0% (APR) compounded monthly (0.5%) and you have already saved $55,000, how much money do you need to put into the savings each month in addition to your companys deposit in order to meet your objective? The following questions will systematically walk you through the analysis. Please use whole dollar amounts except for C2. This is a TVM application that my questions will guide you through. I know you can do this!

A1. In 31 years (372 months), what is the future value of the retirement account (value of your companysPMTs)?

A2. In 31 years (372 months), what is the future value of your current savings, as described above?

A3. How much will you have accumulated for retirement in total in 31 years (372 months) from both sources?

B1. When you retire, how much do you need to have accumulated in order to satisfy your monthly withdrawal expectations ($9,250) for 27 years or 324 months? (PV of your retirement needs at the start of your retirement.) Yes, you do continue earning 6% (or 0.5% monthly) on your balances when you retire!!

C1. What is the shortfall in 31 years (372 months), (at the start of retirement) based on your estimated retirement needs and your accumulated amount for retirement?

C2. So, given your anticipated shortfall in 31 years (372 months) Part C1. How much additional must you deposit each month to eliminate this anticipated FV shortfall? Please use two decimal places ($XXX.XX).