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How much must he set aside each year

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Problem - Suppose your uncle is 50 and has a plan to retire at age 70, but his fortune teller told him that he will live for fifty more years. If he would like to have a steady income of $180,000 per year after his retirement and the interest rate will be 8% compounded yearly at that time, how much must he set aside each year till his retirement to be able to achieve his goal, if the interest rate is now 9% compounded yearly? Also, assume that your uncle has a current balance of $60,000.

Reference no: EM132730348

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