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You begin saving for your retirement today by placing a certain amount of money into a Roth IRA. These deposits are made every year for
You begin saving for your retirement today by placing a certain amount of money into a Roth IRA. These deposits are made every year for 40 payments total in the form of an annuity due. One year after you retire (41 years from today) you start withdrawing $50,000 per year as an ordinary annuity and do this for 30 payments until the funds are gone. If the interest rate is 5% APR, the amount of the annual deposit into this Roth IRA is closest to what value? a. $6,000 b. $6,400 c. $6,800 d. $6.600 e. $6,200
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