How much must joe set aside today to meet the settlement

Assignment Help Financial Management

Reference no: EM132045733

Using the sinking fund, complete the following. . (Do not round intermediate calculations. Round your answer to the nearest cent.)

Payment amount end of each period		Frequency of payment	Length of time	Interest rate	Required amount
$1,440		Annually	8 Years	8%	$

Patricia and Joe Payne are divorced. The divorce settlement stipulated that Joe pay $505 a month for their daughter Suzanne until she turns 18 in 3 years. Interest is 6% a year. How much must Joe set aside today to meet the settlement? (Please use the following provided Table.) (Do not round intermediate calculations. Round your answer to the nearest cent.)

Amount $

Bankrate.com reported on a shocking statistic: only 54% of workers participate in their company's retirement plan. This means that 46% do not. With such an uncertain future for Social Security, this can leave almost 1 in 2 individuals without proper income during retirement. Jill Collins, 20, decided she needs to have $170,000 in her retirement account upon retiring at 60. How much does she need to invest each year at 5% compounded annually to meet her goal? (Please use the following provided Table.) (Do not round intermediate calculations. Round your answer to the nearest dollar amount.)

Each year investment $

Reference no: EM132045733

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