Question
When Riccardo turned 23 years old, he started working for a company that produces electronic space heaters. While working for the company, he contributed $180
When Riccardo turned 23 years old, he started working for a company that produces electronic space heaters.
While working for the company, he contributed $180 at the end of every month into a savings account that earned 1.8 % interest compounded monthly for 19 years.
At the end of the 19 th year of working for the company, the company went bankrupt as the space heaters proved to be flammable. Riccardo decided to follow his passion and found another job as a panda nanny. Unfortunately, the new job didnt pay him as much money as the previous job did, so he stopped contributing money into the account.
Question: If Riccardo retires at the age of 73 and starts pulling money out of the account, then how much money can he withdraw at the end of every month so that the account will last him until he turns 86 years old? Use the appropriate formula(s) to solve this problem
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