The day he retires to realize his retirement dream

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Reference no: EM131053104

Mark freeda wants to plan for retirement and needs your advice. in the first 5 years of his retirement he plans to travel and will need 450,000 each yr to do so. after that he will be able to live on 100,000 per yr. mark does not know how long he will live so once started he needs to be able to withdraw the 100,000 each yr forver. Because of all the cash flows occur at the end of the yr, the first cash outflow of 450,000 will occur in 16 yrs from today. if he can earn 8% rate of return how much does he need to save each yr so that he has enough money on the day he retires to realize his retirement dream? Please show all work.

Reference no: EM131053104

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The day he retires to realize his retirement dream : Mark freeda wants to plan for retirement and needs your advice. in the first 5 years of his retirement he plans to travel and will need 450,000 each yr to do so. after that he will be able to live on 100,000 per yr. mark does not know how long he wil..

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