What annual interest rate must they earn to reach their goal

Assignment Help Financial Management

Reference no: EM131316588

Finding the required interest rate

Your parents will retire in 21 years. They currently have $310,000 saved, and they think they will need $1,050,000 at retirement. What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds? Round your answer to two decimal places. %

Reference no: EM131316588

Questions Cloud

Find the beam deflection as a function of the coordinate x : A cantilever beam of flexural rigidity EI and length l is under a uniformly distributed load q (force per unit length). Find the beam deflection as a function of the coordinate x from the fixed end.

Discuss the strengths and weaknesses of each piece : Discuss the strengths and weaknesses of each piece.If the articles talk to each other (that is, if they support or contrast with one another), explain how and why.What does the evidence tell us?Is there another possible explanation you can think of? ..

Analyze importance of mis in relation to datadriven decision : Explain the importance of MIS in relation to data-driven decisions. Describe the techniques and tools that can be utilized to manage the data. Include at least 2 effective techniques and 3 effective tools.

Summarize three of the characteristics of civilizations : Explain how the Neolithic revolution contributed to the origins of your chosen civilization. Summarize three of the characteristics of civilizations and assess how they are manifested in your chosen civilization

What annual interest rate must they earn to reach their goal : Your parents will retire in 21 years. They currently have $310,000 saved, and they think they will need $1,050,000 at retirement. What annual interest rate must they earn to reach their goal, assuming they don't save any additional funds?

Find the beam deflection at x from the left end : As a result, the beam does not generate moments at both ends or any axial force. Find the beam deflection at x from the left end.

What is the present value of security : What is the present value of a security that will pay $31,000 in 20 years if securities of equal risk pay 11% annually?

Determine the thermal stress in the beam : If the temperature in a fixed - fixed beam (Fig. 3.18 a) of Young's modulus E , cross - sectional area A , length l , and the coefficient of thermal expansion α is given by T - T0 = Tmax sin(πx/l), where Tmax is a constant, x is the coordinate from..

Prefer the payback period method : A comparison of the survey results between the healthcare group and the non-healthcare group reveals major differences in their capital budgeting practices. Why do healthcare firms (especially, not-for-profit ones) continue to prefer the payback peri..

User Account

All Pages