Craig has determined that he needs $1 million for this retirement in 25 years from now. He is going to place $10,000 a year into his Registered Retirement Savings Account (RRSP) and will earn 7.5% per annum (p.a.).

REQUIRED:

a)Calculate how much he will have 25 years from now based on his current savings plan.

b)How long would he have to save in order to achieve the goal he has set based on the savings plan?

c)Explain one different way that Craig could achieve his goal and show calculations.