Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help to do part A in excel without solver and Part b by hand A5 A8 RETIREMENT PLANNER CASE STUDY This case study involves

image text in transcribed

image text in transcribed

Please help to do part A in excel without solver

and Part b by hand

A5 A8 RETIREMENT PLANNER CASE STUDY This case study involves developing a retirement planner to determine how much will need to be deposited into an account to meet retirement income objectives. The case study will require developing a spreadsheet and a report for several retirement assumptions. For the spreadsheet, the following information is to be placed into the cells shown: Current salary A4 Money desired per year if retirement took place now Rate of salary growth as a decimal (i.c..025 for 2.5%/yr) A6 Rate of inflation per year as a decimal A7 Rate of investment growth as a decimal during first 15 yrs Rate of investment growth as a decimal during yrs 16-45 A9 Rate of investment growth as a decimal during retirement A10 This assignment will assume that you will work for 45 years and are retired for 25 years. The first retirement withdrawal will be at the end of year 46. Deposits will be made at the end of each year from years 1-45. The interest rate earned on the deposits changes after 15 years. Withdrawals need to increase at the rate of inflation. Part A. Determine the annual deposit required for years 1-45 if each deposit is the same. Complete the following table for years 1 through 70. Use time value of money equations to solve. No solver or goal seek is allowed. r Beg Balance Interest Deposit Withdrawal Salary % Salary End Balance Part A1. Repeat part A using solver to find the required deposit. Part B. Determine the annual deposit required for years 1 -45 if the amount deposited each year will increase at the same rate as the increase in salary. Complete a second table with the same columns as in part a. Use time value of money equations to solve. No solver or goa seek is allowed. C A B 1 2 Retirement Planner Case Study: 3 Given Data: 4. 85,000.00 5 80,000.00 6 6 0.033 7 0.03 8 0.1 9 0.08 10 0.07 A5 A8 RETIREMENT PLANNER CASE STUDY This case study involves developing a retirement planner to determine how much will need to be deposited into an account to meet retirement income objectives. The case study will require developing a spreadsheet and a report for several retirement assumptions. For the spreadsheet, the following information is to be placed into the cells shown: Current salary A4 Money desired per year if retirement took place now Rate of salary growth as a decimal (i.c..025 for 2.5%/yr) A6 Rate of inflation per year as a decimal A7 Rate of investment growth as a decimal during first 15 yrs Rate of investment growth as a decimal during yrs 16-45 A9 Rate of investment growth as a decimal during retirement A10 This assignment will assume that you will work for 45 years and are retired for 25 years. The first retirement withdrawal will be at the end of year 46. Deposits will be made at the end of each year from years 1-45. The interest rate earned on the deposits changes after 15 years. Withdrawals need to increase at the rate of inflation. Part A. Determine the annual deposit required for years 1-45 if each deposit is the same. Complete the following table for years 1 through 70. Use time value of money equations to solve. No solver or goal seek is allowed. r Beg Balance Interest Deposit Withdrawal Salary % Salary End Balance Part A1. Repeat part A using solver to find the required deposit. Part B. Determine the annual deposit required for years 1 -45 if the amount deposited each year will increase at the same rate as the increase in salary. Complete a second table with the same columns as in part a. Use time value of money equations to solve. No solver or goa seek is allowed. C A B 1 2 Retirement Planner Case Study: 3 Given Data: 4. 85,000.00 5 80,000.00 6 6 0.033 7 0.03 8 0.1 9 0.08 10 0.07

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

Property Finance

Authors: David Isaac

2nd Edition

0333987144, 978-0333987148

More Books

Students also viewed these Finance questions

Question

5. How would you describe your typical day at work?

Answered: 1 week ago

Question

7. What qualities do you see as necessary for your line of work?

Answered: 1 week ago