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You are planning your future retirement savings. You are willing to take more risk when you are younger and thus can invest at a rate
You are planning your future retirement savings. You are willing to take more risk when you are younger and thus can invest at a rate of 10% for the first 10 years. After these 10 years, you will not have any available income to invest and you would like to move all of your assets into a low risk bond fund. You would then like to invest in a low risk bond fund for the following 15 years until you retire. From the bond fund, you expect to earn a rate of return of 3%. At the end of the 15+10 years when you retire, you would like to have $718,000 in your account. How much money would you need to deposit each year for the first 10 years in order to achieve your goal of $718,000 at the end of the 15+10 years
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