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Janine is 35 and has a good job at a biotechnology company. Janine estimates that she will need $912,000 in her tota/ retirement nest egg
Janine is 35 and has a good job at a biotechnology company. Janine estimates that she will need $912,000 in her tota/ retirement nest egg by the time she is 65 in order to have retirement income of $22,000 a year. (She expects that Social Security will pay her an additional $20,500 a year.) She currently has $7,000 in an IRA, an important part of her retirement nest egg. She believes her IRA will grow at an annual rate of 8 percent, and she plans to leave it untouched until she retires at age 65 . How much will Janine's IRA be worth when she needs to start withdrawing money from it when she retires? Use (Exhibit 1-A, Exhibit 1-B, Exhibit 1-C, Exhibit 1-D). Note: Use appropriate factor(s) from the tables provided. Round time value factor to 3 decimal places and answer to 2 decimal places
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