Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

a You want to accumulate $1,000,000 in retirement funds by your 65th birthday. Today is your 30th birthday, and you plan on making annual investments

a

You want to accumulate $1,000,000 in retirement funds by your 65th birthday. Today is your 30th birthday, and you plan on making annual investments into a mutual fund that you project will earn a 9% annual rate of return. Your first deposit will take place today and your last deposit will take place on your 65th birthday. What is the amount of the annual payment you must make each year in order to have $1,000,000 in your account on the day you make your last deposit - that is, on your 65th birthday? (Round your answer to 2 decimal places and enter your answer without a dollar sign and without commas. For example, record $21,325.32768 as 21325.33)... Answer is 4235.05... Can you provide an excel solution?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Finance

Authors: Besley, Scott Besley, Eugene F Brigham, Brigham

4th Edition

0324655886, 9780324655889

More Books

Students also viewed these Finance questions

Question

1. What do I want to achieve?

Answered: 1 week ago

Question

3. What is my goal?

Answered: 1 week ago