Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Finance HW. Please help. It is due in less than an hour. It's Finance... the attachment is below. I'm not sure why this has to

  1. Finance HW. Please help. It is due in less than an hour. It's Finance... the attachment is below. I'm not sure why this has to be 50 characters. Example below
  1. You plan to have $900,000 in savings and investments when you retire at age 64. Assuming that you earn an average of 7 percent on this portfolio, what is the maximum annual withdrawal you can make over a 20-year period of retirement? Round the answer to the nearest cent. Round PVA-factor to three decimal places.

Calculate your answer based on the FVA-factor.

image text in transcribed a. Starting with $16,000, how much will you have in 20 years if you can earn 15 percent on your money? Round the answer to the nearest cent. Round FV-factor to three decimal places.If you can earn only 10 percent? Round the answer to the nearest cent. Round FV-factor to three decimal places.Calculate your answer based on the FV-factor. b. If you inherited $25,000 today and invested all of it in a security that paid a 12 percent rate of return, how much would you have in 30 years? Round the answer to the nearest cent. Round FV-factor to three decimal places. Calculate your answer based on the FVfactor. c. If the average new home costs $315,000 today, how much will it cost in 11 years if the price increases by 3 percent each year? Round the answer to the nearest cent. Round FV-factor to three decimal places. Calculate your answer based on the FV-factor.$ d. You think that in 8 years it will cost $240,000 to provide your child a 4-year college education. Will you have enough if you take $79,000 today and invest it for the next 8 years at 8 percent? Round the answer to the nearest cent. Round FV-factor and FVAfactors to three decimal places. approximately$ -Select-moreless -Select-YesNo , you will have than your estimate of $240,000. If you start from scratch, how much will you have to save each year to have $240,000 in 8 years if you can earn a 8 percent rate of return on your investments?Calculate your answer based on the FVA-factor.$ Calculate your answer based on the financial calculator.$ e. If you can earn 9 percent, how much will you have to save each year if you want to retire in 40 years with $1 million? Round the answer to the nearest cent. Round FVA-factor to three decimal places. Calculate your answer based on the FVA-factor.$ Calculate your answer based on the financial calculator.$ f. You plan to have $900,000 in savings and investments when you retire at age 64. Assuming that you earn an average of 7 percent on this portfolio, what is the maximum annual withdrawal you can make over a 20-year period of retirement? Round the answer to the nearest cent. Round PVA-factor to three decimal places. Calculate your answer based on the FVA-factor.$ Calculate your answer based on the financial calculator.$ Continue without saving

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_2

Step: 3

blur-text-image_3

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

Mathematics For Business

Authors: Stanley A Salzman, Charles D Miller, Gary Clendenen

8th Edition

0321357434, 9780321357434

More Books

Students also viewed these Finance questions

Question

Prepare a sales budget and related schedule of cash receipts.

Answered: 1 week ago

Question

6. How can a message directly influence the interpreter?

Answered: 1 week ago