Question
When Derek retires in 14 years, she wants to receive $500.00 payments at the start of every month for 26 years from her RIF that
When Derek retires in 14 years, she wants to receive $500.00 payments at the start of every month for 26 years from her RIF that earns 3.30% compounded semi-annually.
a. What must the balance be in Dereks RIF in order to sustain the $500.00 payments?
Round to the nearest cent
b. What beginning of quarter deposits does Derek have to make into her RRSP that earns 2.20% compounded quarterly for the 14 years until she retires?
Round to the nearest cent
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Financial Institutions Management
Authors: Anthony Saunders, Marcia Cornett
8th Edition
0078034809, 978-0078034800
