Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Check My Work (3 remaining) eBook Problem 7-25 You wish to retire in 13 years and currently have $10,000 in a savings account Vielding 4

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
Check My Work (3 remaining) eBook Problem 7-25 You wish to retire in 13 years and currently have $10,000 in a savings account Vielding 4 percent annually and $80,000 in quality "blue chip" stocks yielding 9 percent. If you expect to add $30,000 at the end of each year to your stock portfolios, how much will you have in your retirement fund when you retire? Use Appendix A and Appendix C to answer the question. Round your answer to the nearest dollar. what rate of return must you earn on your retirement funds if you want to withdraw $96,000 per year for the next 14 years after retiring? Use Appendix D to answer the question. Round your answer to the nearest whole number. Interest Factors for the Future Value of One Dollar Time Period (e.g. year) 1 2 3 4 5 1 15 2% 1.010 1.020 1.020 1.040 1.030 1.061 1.041 1.082 1.051 1.104 3% 4% 1.030 1.040 1.061 1.082 1.093 1.125 1.126 1.170 1.159 1.217 5% 1.050 1.102 1.158 1.216 1.276 5% 1060 1070 1.124 1.145 1.191 1.225 1.262 1.311 1338 1.403 8% 9% 1080 1.090 1.166 1.188 1.260 1.295 1.3601.412 1.469 1.539 10% 1.100 1.210 1.321 1.464 1.611 12% 1.120 1.254 1.405 1.574 1.762 14% 1.140 1.300 1.482 1.689 1.925 15% .150 1.322 1.521 1.749 2.011 16% 1.160 1.346 1.561 1.811 2.100 1.180 1.392 1.643 1.939 20% 1.200 1.440 2.074 2.488 1828 1.772 1.949 1974 2.211 6 7 8 9 10 1062 1072 1083 1.094 1.105 1.126 1.149 1.172 1.195 1.219 1.194 1.230 1.267 1.305 1.344 1.265 1.316 1.369 1.423 1.480 1.340 1.419 1.407 1.504 1.477 1.594 1.551 1689 1.629 1.791 1.501 1.606 1.718 1838 1.967 1.587 1.714 1.851 1.999 2.159 2.195 2.502 2.852 3.252 3.707 2.313 2.660 2 059 3.518 4.046 2.436 2.826 3.278 3.803 4.411 2.700 3.186 3.759 4.436 5.234 2.986 3.583 4.300 5.160 6.192 2.367 2.358 2.594 2.773 3.106 11 12 13 14 15 1.116 1.127 1138 1.149 1.161 1.243 1.384 1.539 1.710 1,898 2.105 2332 1.268 1.426 1.601 1.796 2612 2.252 2518 1.294 1.469 1.665 1.886 2.133 2.410 2.720 1.319 1.513 1.732 1.980 2.261 2.579 2.937 1.346 1.558 1.801 2.079 2.397 27593.172 2.580 2.813 3.066 3.342 3.642 2.853 3.138 3452 3.797 4.177 3.479 3.896 42363 4.887 5.474 4.226 4.818 5.492 6.261 7138 4.652 5.117 5350 5.936 6.153 6.886 70767 988 8.1379.266 6.176 7.287 8.599 10.147 11.973 7430 8.916 10.699 12.839 15.407 16 17 18 19 20 1.173 1373 1605 1.873 2.183 2.540 2.952 3.426 1184 1.400 1.653 1.948 2.292 2.693 3.159 3.700 1.196 1.428 1.702 2.026 2407 2.854 3.380 3.996 1.208 1.457 1.754 2.107 2.527 3.026 3.6174 316 1220 1486 1.806 2.191 2.653 3.207 3.870 4661 3.970 4.328 4.717 5.142 5.604 4.595 5.054 5.560 6.116 6.728 6.130 6.866 7.690 8.613 9.646 8.137 9.358 10.748 9.27610.761 12.468 10.575 12.375 14.463 12.056 14 232 16.777 13.743 16 367 19.461 14.129 18.488 16.672 22.186 19.673 26.623 23.214 31 948 2739338 337 25 30 1.282 16412094 2.666 3.386 4.292 5.427 1.348 1811 2.427 3.243 4322 5.743 7.612 6.848 8.623 10.835 17.000 26.462 10.063 13.268 17.449 29.960 50.950 32.919 40.874 66.212 85.850 62.688 95.396 143.370 237.370 Interest Factors for the Future Value of an Annuity of One Dollar Time Period (e.g year 1% 1.000 2.010 3.0303 4.060 5.101 14% 1.000 2% 1.000 2.020 .060 4.122 5.204 3% 1.000 2030 3.091 4.184 5.309 4% 1.000 2.040 3.122 4.246 5.416 5% 1.000 2.050 3.152 4310 1.000 2.060 3.184 4.375 5.637 1.000 1.000 2.070 2.080 3.215 3.246 4.440 4.506 5.7515.867 9% 1.000 2.090 3.278 4.573 5985 10% 1.000 2.100 3.310 12% 1.000 2.120 3.374 16% 1.000 2.160 3.506 5.067 6.877 20% 1.000 2.200 3.640 5.368 7.442 3.440 6.105 6.353 6.610 6.152 7.214 8.286 9.369 10.462 6.308 6.468 6.633 7.434 7.662 7.898 8.5838.8929.214 9.755 10.159 10.583 10.950 11.464 12.006 6.802 8.142 9549 11.027 12.578 6.9757.153 8.394 8.654 9.897 10.260 7 .336 8.923 10.637 12.488 14.487 7.523 9.200 11.028 13.021 15.193 7.716 8.115 9.487 10.089 11.436 12.300 13.57914.776 15.937 17.549 8.536 10.730 13.233 16.085 19.337 8.978 11.413 14.240 17.518 21.321 9930 12.915 16.499 20.798 25.958 10 13.181 13.816 11 11.567 12.683 13.809 14.947 16.097 12.169 13.412 14.680 15 974 17.293 12.808 13.486 14.192 15.026 15.61816.627 17.086 18.292 18.599 20.024 14.207 15.917 17.713 19.599 21.579 16.870 18.882 21.051 23.276 1748 20.141 22.550 25.129 16.645 18.977 21.495 24 215 27.152 17.560 20.141 22.953 26.019 29.361 18.531 21.384 24.523 27.975 31.772 20.655 24.138 28.029 32.393 37.280 23.044 27.271 32.089 37.581 43.842 25.732 32.150 30.850 39.580 36.786 48.496 43.672 59.195 51.65972.035 17.258 18.639 18.430 20.012 19.615 21.412 20.811 22.841 22.01924.297 20.157 21.762 23.414 25.117 26.870 21.825 23.698 25.645 27.671 29.778 23.657 25.840 28.132 30.539 33,066 25.673 27.888 28.213 30.840 30.906 33.999 33.760 37.379 36.786 40.995 30.324 33.00335.950 42.753 33.750 36.974 40.545 48.884 37.45041.301 45.599 55.750 41.446 46.018 51.159 63.440 45.762 51.160 57.275 72.052 50.980 59.118 68.934 78.969 91.025 60.925 87 442 71.673 105.93 84.140 128.11 98.603 154.74 115.370 186.68 25 28.243 32.030 36.459 41.646 47.727 54.865 63.249 73.106 84.701 98.347 133.33 181.87 249.210 471.98 30 34.785 40.568 47.57556.085 66.439 79.058 94.461 113.283 136.308 164.494 241.333 356.878 530.310 1181.8 Interest Factors for the Present Value of an Annuity of One Dollar Time Period (e.g. vearl 1 2 4 3 % 4% 5% 6% 7% 8% 9% 10% 12% 14% 16% 18% 20% 24 289 2292 1 0.990 0.980 0.971 0.962 0.952 0.943 0935 0.926 0.917 0.909 0.893 0.877 0.862 0.847 0.833 0.806 0.781 0.758 2 1.970 1.942 1913 1.886 1.859 1.833 1.808 1.783 1.759 1.736 1.690 1.647 1.605 1.566 1.528 1.457 1.392 1.332 3 2.941 2.884 2.829 2.775 2.723 2.673 2.624 2.577 2.531 2.487 2.402 2.322 2.246 2.174 2.106 1.981 1.868 1.766 4 3.902 3.808 3.717 3.630 3.546 3.465 3.387 3.312 3.240 3.170 3.037 2.914 2.798 2.690 2.589 2.404 2.241 2.096 5 4.853 4.713 4.580 4.452 4.329 4.212 4.100 3.993 3.890 3.791 3.605 3.433 3.274 3.127 2.991 2.745 2.532 2.345 264 0.735 1.276 1,674 1.966 2.181 6 7 8 9 10 5.795 5.601 5.417 5.242 5.076 4.917 4.766 4,623 4.486 4.355 4.111 3.889 3.685 3.498 3.326 3.020 2.759 2.534 2.399 6.728 6.472 6.230 6.002 5.786 5.582 5.389 5.206 5,033 4.868 4.564 4.288 4.039 3.812 3.605 3.242 2.937 2.678 2.455 7.652 7.325 7.020 6.733 6.463 6.210 5.971 5.747 5.535 5.335 4.968 4.639 4.344 4.078 3.837 3.421 3.076 2.786 2.540 8.566 8.162 7.786 7.435 7.108 6.802 6.515 6.247 5.985 5.759 5.328 4.946 4.607 4.303 4.031 3.566 3.184 2.868 2.603 9.471 8.983 8.530 8.111 7.722 7.360 7.024 6.710 6.418 6.145 5.650 5.216 4.833 4.494 4.193 3.682 3.269 2.930 2.650 11 12 13 14 15 10.368 9.787 9.253 8.760 8.306 7.887 7.499 7.139 6.805 6.495 5.988 5.453 5.029 4.656 4.327 3.776 3.335 2.978 2.683 11.255 10.575 9.954 9.385 8.863 8.384 7943 7.536 7161 6.814 6.194 5.660 5.197 4.793 4.439 3.851 3.387 3.013 2.708 12.134 11.348 10.635 9.986 9.394 8.534 8.358 7.904 7.487 7.103 6.424 5.842 5.342 4.910 4.533 3.912 3.427 3.040 2.727 13.004 12.106 11.296 10.563 9.899 9.295 8.745 8.244 7.786 7.367 6.628 6.002 5.468 5.008 4.611 3.962 3.459 3.061 2.740 13.865 12.849 11.938 11.118 10.380 9.712 9.108 8.559 8,060 7.606 6.811 6.142 5.575 5.092 4.675 4.001 3.483 3.076 2.750 16 14.718 13.578 12.567 11.652 10.838 10.106 9.447 8.851 8.312 7.824 6.974 6.265 5.669 5.162 4.730 4.003 3.503 3.088 2.758 17 15.562 14.292 13.166 12.166 11.274 10.477 9.763 9.122 8.544 8.002 7.120 6.373 5.749 5.222 4.775 4,059 3.518 3.097 2.763 18 16.398 14.992 13.754 12.659 11.690 10.828 10.059 9.372 8.756 8.2017.250 6.467 5.818 5.273 4.812 4.080 3.529 3.104 2.767 19 17.226 15.678 14.324 13.134 12.085 11.158 10.336 9.604 8.950 8.365 7.366 6.550 5.877 5.316 4.844 4.0973.539 3.109 2.770 2018.046 16.351 14.877 13.590 12.462 11.470 10.594 9.818 9.128 8.514 7.469 6.623 5.929 5.353 4.870 4.110 3.546 3.113 2.772 25 22.023 19.523 17413 15 622 14.094 12.783 11.654 10.675 9.823 9.077 7.843 6.873 6.097 5.467 4.948 4.147 3.564 3.122 2.776 30 25 808 22 937 19.600 17.292 15.373 13.765 12.409 11.258 10 274 9.427 8.055 7003 6.177 5.517 4.9794.160 3.569 3.124 2.778

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

Financial Management For Nurse Managers And Executives

Authors: Cheryl Jones, Steven A. Finkler, Christine T. Kovner, Jason Mose

5th Edition

0323415164, 9780323415163

More Books

Students also viewed these Finance questions

Question

Whether training would be needed, and what methods would be used.

Answered: 1 week ago

Question

What should be the purpose of performance management and appraisal?

Answered: 1 week ago

Question

The issue of staff sensitivity to feedback

Answered: 1 week ago