Making plans for retirement

Assignment Help Financial Management

Reference no: EM131358206

You plan to deposit $2,200 per year for 4 years into a money market account with an annual return of 3%. You plan to make your first deposit one year from today.

a. What amount will be in your account at the end of 4 years? Round your answer to the nearest cent. Do not round intermediate calculations.

2. You and your wife are making plans for retirement. You plan on living 25 years after you retire and would like to have $95,000 annually on which to live. Your first withdrawal will be made one year after you retire and you anticipate that your retirement account will earn 10% annually.

a. What amount do you need in your retirement account the day you retire? Round your answer to the nearest cent. Do not round intermediate calculations.

b. Assume that your first withdrawal will be made the day you retire. Under this assumption, what amount do you now need in your retirement account the day you retire? Round your answer to the nearest cent. Do not round intermediate calculations.

Reference no: EM131358206

Questions Cloud

Discuss the need for a cso are you for or against : Discuss the need for a CSO, are you for or against? Why? Is a CSO a position you would be interested in holding? From your research, what are common responsibilities of a CSO.

Discuss the classical criminology and positivist criminology : You will be using one of the theories below and applying the theory to a musical song of your choice. The application piece must include defining the theory in your own words and then taking aspects of the song and applying it to the theory. Your..

Differentiation broad cost leader niche cost leader : Suppose the Digby company begins to compete through good designs, high awareness and easy accessibility for their existing products, what strategy would they be implementing? Select: 1 Niche differentiation Broad differentiation Broad cost leader Nic..

Explain in detail the potential impact of malicious attacks : Explain in detail the potential impact of the three selected malicious attacks. Propose the security controls that you would consider implementing in order to protect against the selected potential malicious attacks.

Making plans for retirement : You plan to deposit $2,200 per year for 4 years into a money market account with an annual return of 3%. You plan to make your first deposit one year from today. What amount will be in your account at the end of 4 years? You and your wife are making ..

Cadbury market value rose : When Kraft recently bid $16.7 billion for Cadbury, Cadbury's market value rose, but Kraft's market value fell by more. What does this tell you about the value-creating potential of the deal?

Redefine the weave parameters : Redefine the weave parameters, first by 90o rotating the weaving pattern, and second by considering the opposite face of the weaving pattern, on both initial orientation and 90o rotated orientation of the weaving pattern. Is this a twill or a sati..

Effects of globalization impacted walmart ability : How have changes in the industry and the effects of globalization impacted Walmart'sability to successfully compete? List and describe two factors that are negatively impacting Walmart.

Draw the top view repetitive unit cell : Draw the top view repetitive unit cell (RUC) for 5/1/2 weave counting along the x-direction. Next, redefine the weave parameters, first by 90o rotating the weaving pattern, and second by considering the opposite face of the weaving pattern, on bot..

User Account

All Pages