Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please show your work and your thought process. Janessa is 29 years old and she is about to start her first full-time job. She is

image text in transcribedimage text in transcribed

Please show your work and your thought process. Janessa is 29 years old and she is about to start her first full-time job. She is currently single and she is willing to take the appropriate risk she needs to prepare for retirement. Her starting annual salary is $63,000 and she has no retirement savings yet. Her employer will match 100% of her contributions up to the first 4% of her salary to the company's 401(k) account. Part A - Annual Savin Use this link to determine her retirement saving needs 1. What amount should Janessa be saving each year? (Use this amount in the "Total box.) How much of the total annual savings should she be saving in her 401(k), a Traditional IRA, and/or a ROTH IRA? Put these amounts in the table in the "Amount" column. 2. Why did you pick each amount? Put your explanation in the table next to the amount. Make sure you use concepts from your text, class materials, etc. to justify your position 3. Part B - Investment Vehicle Choices Janessa's employer offers the following 401(k) Investment Vehicle Options Davis New York Venture Fund Class Y [DNVYX] a. b. Aberdeen Select International Equity Fund Class [JIEIX] C. Janus Asia Equity Fund Class A IAQA] spx) to look up and compare the Use FINRA's Fund Analyzer (htt funds Janessa has to choose from within her employer's 401(k) plan. (Keep the defaults and focus on the fees, profits/losses). (Note: these funds are NOT recommendations for you to invest in, this is just an example!) Janessa has the following Traditional or Roth IRA Options: d. Target Date Fund e. Apple Stock f. 10 Year Treasury Note g. Your own choice (you must explain why) Use the course materials to determine which IRA option is best for Janessa's situation Pick the most appropriate choice from the lists above for the investment vehicles. Then put your choices (a, b, c, d, e, f, and g) in the table 4. Why did you pick each fund? Put your explanation in the table next to the Investment Vehicle Choice Make sure you use concepts from your text, class materials, etc. to justify your position. 5. Please note that when you finish this table, all the boxes may or may not contain data. It is OK to have N/A or zeros in some of the boxes as long as you provide your rationale Please show your work and your thought process. Janessa is 29 years old and she is about to start her first full-time job. She is currently single and she is willing to take the appropriate risk she needs to prepare for retirement. Her starting annual salary is $63,000 and she has no retirement savings yet. Her employer will match 100% of her contributions up to the first 4% of her salary to the company's 401(k) account. Part A - Annual Savin Use this link to determine her retirement saving needs 1. What amount should Janessa be saving each year? (Use this amount in the "Total box.) How much of the total annual savings should she be saving in her 401(k), a Traditional IRA, and/or a ROTH IRA? Put these amounts in the table in the "Amount" column. 2. Why did you pick each amount? Put your explanation in the table next to the amount. Make sure you use concepts from your text, class materials, etc. to justify your position 3. Part B - Investment Vehicle Choices Janessa's employer offers the following 401(k) Investment Vehicle Options Davis New York Venture Fund Class Y [DNVYX] a. b. Aberdeen Select International Equity Fund Class [JIEIX] C. Janus Asia Equity Fund Class A IAQA] spx) to look up and compare the Use FINRA's Fund Analyzer (htt funds Janessa has to choose from within her employer's 401(k) plan. (Keep the defaults and focus on the fees, profits/losses). (Note: these funds are NOT recommendations for you to invest in, this is just an example!) Janessa has the following Traditional or Roth IRA Options: d. Target Date Fund e. Apple Stock f. 10 Year Treasury Note g. Your own choice (you must explain why) Use the course materials to determine which IRA option is best for Janessa's situation Pick the most appropriate choice from the lists above for the investment vehicles. Then put your choices (a, b, c, d, e, f, and g) in the table 4. Why did you pick each fund? Put your explanation in the table next to the Investment Vehicle Choice Make sure you use concepts from your text, class materials, etc. to justify your position. 5. Please note that when you finish this table, all the boxes may or may not contain data. It is OK to have N/A or zeros in some of the boxes as long as you provide your rationale

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

Step: 3

blur-text-image

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

Linking Auditing And Meta Evaluation Enhancing Quality In Applied Research

Authors: Thomas A. Schwandt, Edward S. Halpern

1st Edition

0803929684, 978-0803929685

More Books

Students also viewed these Accounting questions

Question

What is the point group symmetry of the conformation shown?

Answered: 1 week ago

Question

Distinguish between filtering and interpreting. (Objective 2)

Answered: 1 week ago