Question
Andrea has been saving for retirement for the last 25 years. Over that period, she deposited $500 per month in a high yield account and
Andrea has been saving for retirement for the last 25 years. Over that period, she deposited $500 per month in a high yield account and $300 per month in a lower risk, lower yield account. The return of the high yield account was 10 percent, and the lower yield account returned 5 percent. Now, on the day of her retirement, she will transfer all of her savings into an account with a return of 3 percent. All interest rates are compounded monthly. How much can she withdraw each month from her account assuming a 20-year withdrawal period? Provide answer on excel sheet with formula for full credit;
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