What rate of return must earn on retirement

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You wish to retire in 9 years and currently have $70,000 in a savings account yielding 10 percent annually and $120,000 in quality "blue chip" stocks yielding 14 percent. If you expect to add $40,000 at the end of each year to your stock portfolios, how much will you have in your retirement fund when you retire? Use Appendix A and Appendix C to answer the question. Round your answer to the nearest dollar.

What rate of return must you earn on your retirement funds if you want to withdraw $110,000 per year for the next 13 years after retiring? Use Appendix D to answer the question. Round your answer to the nearest whole number.

Reference no: EM132775985

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