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TIME VALUE OF MONEY CALCULATION. URGENT. undefined Charlie anticipates that he can accumulate sufficient non-registered savings to allow him an annual income of $40,000 after-tax,
TIME VALUE OF MONEY CALCULATION. URGENT.
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Charlie anticipates that he can accumulate sufficient non-registered savings to allow him an annual income of $40,000 after-tax, for 25 years, indexed for annual inflation of 2%. He feels he can earn an annual nominal return of 10% before tax (compounded annually) and he anticipates a 35% marginal tax rate. Assuming Charlie's retirement income is paid annually at the beginning of each year, how much money does he require at the beginning of retirement to support this stream of payments? $525,185 $598,552 $520,495 $624,959Step by Step Solution
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