On January 1, 2021, you will start your career as a civil engineer. Your financial advisor has recommended saving for retirement to ensure you have enough to live large and to leverage the time value of money. Data for your situation follows: Starting salary = $60,000 (at end of first year) Annual raises = 5% p.a. Current age = 25 Career = 40 years ROR in career = 10% p.a. Savings rate = 15% p.a. Round monies to the nearest dollar and use the 1000 separator (,). In the Retirement 1 tab, calculate the values going out to 40 years and graph the ending balances. In the Retirement 2 tab, determine the amount you need to have in your account the day you retire (PV) and conduct a sensitivity analysis to determine if you will have enough for retirement based on the various savings rates and RORs. An excellent tutorial is available at https://www.youtube.com/watch?v=x0BflbKIIss. Data for your situation follows: Retirement = 30 years Amount needed in first year of retirement = 80% of last years salary Inflation in retirement = 3% p.a. ROR in retirement = 5% p.a. Provide your observations about how much you will need in retirement versus the results of the sensitivity analysis.

I need the question to be solved using excel and the formula are shown. thank you.

File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments v AutoSum Calibri v 11 A == a Wrap Text General E AY O X Cut LG Copy Format Painter MIT Fill Paste Insert Delete Format U V Es Merge & Center $ %) Clear Conditional Format as Cell Formatting Table Styles Styles Sort & Find & Filter Select V Analyze Data Clipboard Font Alignment Number Cells Editing Analysis G47 X f 1 J K L M N 0 P 0 R S U V W X Y Z AA 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 . B D E F G H 1 Salary, $ 2 Saving, % 3 Raises, % 4 ROR, % 5 6 2021 2022 2023 2024 2025 2026 7 Salary 8 Saving 9 EB (savings) 10 NPV 11 FV 12 13 14 15 16 17 Chart Title 18 1 19 20 1 21 22 1 23 1 24 25 0 26 27 0 28 29 Plot Area - 30 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 31 32 33 34 35 36 37 38 39 40 41 File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments B Split PL View Side by Side Default Ruler Formula Bar Gridlines Headings H Keep Exit New Options 100 Zoom 100% Zoom to Selection Hide New Arrange Freeze Window All Panes Unhide Normal Page Break Page Custom Preview Layout Views Workbook Views Macros IDI Synchronous Scrolling Reset Window Position Switch Windows Sheet View Show Zoom Window Macros P11 fic G H 1 K L M N O P Q R S T U B D E F 1 AMOUNT NEEDED IN RETIREMENT 2 First year, $ 3 Inflation, % 4 ROR, % 5 n 6 PV, $ This is the amount you will need the day you retire. 7 8 9 10 SENSITIVITY ANALYSIS 11 Salary, $ 12 Saving, % 13 ROR, % 14 Raises, % 15 n 16 FV, $ (Hint - use the Pg formula) 17 18 10% 11% 12% 19 6% 20 ROR 7% 21 8% 22 9% 23 10% 24 25 26 Provide your observations 27 in the box: 28 29 30 31 32 33 Savings Rate 14% 15% 13% 16% 17% 18% 19% 20% File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments v AutoSum Calibri v 11 A == a Wrap Text General E AY O X Cut LG Copy Format Painter MIT Fill Paste Insert Delete Format U V Es Merge & Center $ %) Clear Conditional Format as Cell Formatting Table Styles Styles Sort & Find & Filter Select V Analyze Data Clipboard Font Alignment Number Cells Editing Analysis G47 X f 1 J K L M N 0 P 0 R S U V W X Y Z AA 2027 2028 2029 2030 2031 2032 2033 2034 2035 2036 2037 2038 2039 2040 2041 2042 2043 2044 2045 . B D E F G H 1 Salary, $ 2 Saving, % 3 Raises, % 4 ROR, % 5 6 2021 2022 2023 2024 2025 2026 7 Salary 8 Saving 9 EB (savings) 10 NPV 11 FV 12 13 14 15 16 17 Chart Title 18 1 19 20 1 21 22 1 23 1 24 25 0 26 27 0 28 29 Plot Area - 30 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 31 32 33 34 35 36 37 38 39 40 41 File Home Insert Draw Page Layout Formulas Data Review View Help Share Comments B Split PL View Side by Side Default Ruler Formula Bar Gridlines Headings H Keep Exit New Options 100 Zoom 100% Zoom to Selection Hide New Arrange Freeze Window All Panes Unhide Normal Page Break Page Custom Preview Layout Views Workbook Views Macros IDI Synchronous Scrolling Reset Window Position Switch Windows Sheet View Show Zoom Window Macros P11 fic G H 1 K L M N O P Q R S T U B D E F 1 AMOUNT NEEDED IN RETIREMENT 2 First year, $ 3 Inflation, % 4 ROR, % 5 n 6 PV, $ This is the amount you will need the day you retire. 7 8 9 10 SENSITIVITY ANALYSIS 11 Salary, $ 12 Saving, % 13 ROR, % 14 Raises, % 15 n 16 FV, $ (Hint - use the Pg formula) 17 18 10% 11% 12% 19 6% 20 ROR 7% 21 8% 22 9% 23 10% 24 25 26 Provide your observations 27 in the box: 28 29 30 31 32 33 Savings Rate 14% 15% 13% 16% 17% 18% 19% 20%