Question
you are saving for retirement. To live comfortably, you decide you will need to save $2,000,000 by the time you are 65. Today is your
you are saving for retirement. To live comfortably, you decide you will need to save
$2,000,000
by the time you are
65.
Today is your
33rd
birthday, and you decide, starting today and continuing on every birthday up to and including your
65th
birthday, that you will put the same amount into a savings account. If the interest rate is
6%,
how much must you set aside each year to make sure that you will have
$2,000,000
in the account on your
65th
birthday?
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Financial management theory and practice
Authors: Eugene F. Brigham and Michael C. Ehrhardt
12th Edition
978-0030243998, 30243998, 324422695, 978-0324422696
