Question
I need to have question solved us either a financial calculator or using the algebraic solution. If you use a financial calculator to solve, show
I need to have question solved us either a financial calculator or using the algebraic solution. If you use a financial calculator to solve, show all the input keystrokes and values entered. Either way I need to see all step shown completely. Excel is NOT an acceptable means of completion.
This is similar to the last question you helped me with.
Ms. B is 55 years old and is planning to retire at age 62. She wants to have a retirement income from that point until age 85. She projects that she will need $5,000 per year during her retirement to supplement her other retirement income. In addition, she wants to leave an inheritance of $25,000 each to her four grandchildren. She has accumulated a nest egg $25,000 at this point. Assume that she can invest at a 9% annual rate in the pre-retirement period, that her funds can be invested at a 10% annual rate after retirement, and that contributions and withdrawals occur at the end of each year. If you use a financial calculator to solve, show all keystrokes and values input (e.g. FV = $XXX, PMT = $YYY, etc.)
a. Sketch the time line of the cash flows for this problem
b. Does she have enough accumulated at this point to find her plan?
c if she does not have enough, how much must she save each year for the next 7 years in order to fund her plan?
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