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- An employee wants to retire and receive P 5 000 a month. She wants to pass this monthly payment to future generations after her death. She can earn an interest of 8% compounded annually? How much will she need to set aside to achieve her perpetuity goal?A.)Your client has recently had a baby girl. He wants to set aside his annual bonus at the end of each year to pay her college costs in 18 years. He expects his bonus to be $5,000 per year and thinks he can earn 6% per year. How much will he have saved at the end of 18 years? B.) How much will he have saved at the end of 18 years if his bonus is received at the beginning of each year?Suppose Annie’s current salary is $65,000 per year, and she is planning to retire 25 years from now. She anticipates that her annual salary will increase by $1,800 each year. That is in the first year she will earn $65,000 in the second year $66,800 in the third year $68,600 and so forth. At the end of each of the next 25 years, she plans to deposit 10% of her salary from that year into a retirement fund that earns 6% interest compounded daily. How much money will be in her account at the time of her retirement.
- Claire Fitch is planning to begin an individual retirement program in which she will invest $1,500 at the end of each year. Fitch plans to retire after making 30 annual investments in the program earning a return of 10%. What is the value of the program on the date of the last payment (30 years from the present)?Maryanne purchases a house for $380,000 and takes a mortage for the full amount. Her mortgage charges 3% per year and interest is compounded monthly. She will repay the loan over 30 years with equal monthly payments. a) What is her monthly payment amount? b) How much of the 6th payment would be applied toward interest? c) How much of the 6th payment would be applied toward principal? Please show work or excel formuals usedMr. Reyes wants to retire 15 years from now. Aside from the retirement benefits from his company and the social security benefits that he will get, Mr. Reyes wants to have an additional 2 million pesos when he retires. To achieve this goal, he will make equal annual deposit at the end of each year for the next 15 years in an account that earns 5% interest per annum. How much should Mr. Reyes deposit each year?
- How do I solve this problem: Suze Orman wants to pay $1500 semiannually to her granddaughter for 10 years for helping her around the house. If Suze can invest money at 6% compounded quarterly, how much must she invest today to meet this goal?Megan invests $1, 500 at the end of each year into an account earning 2% effective annual interest. She reinvests the interest earned at the end of each year into a second account that will earn her 8% effective annual interest. How much is in the second account after 30 years? Also, fill in the following table (or, redraw the table on your solution sheet being handed in and fill it inSusan Orman wants to pay $1,500 semiannually to her granddaughter for 10 years for helping her around the house. If Susan can invest money at 6% compounded semiannually, how much must she invest today to meet this goal? (Please use the following provided Table.)
- b. Calculate the upfront amount that she should pay under the alternative payment agreement so that the payments are equivalent. $1,050.70 Round to the nearest centA woman, with her employer's matching program, contributes $700 at the end of each month to her retirement account, which earns 6% interest, compounded monthly. When she retires after 46 years, she plans to make monthly withdrawals for 32 years. If her account earns 4% interest, compounded monthly, then when she retires, what is her maximum possible monthly withdrawal (without running out of money)?Mrs. Nash will contribute $200 to her RRSP at the end of each month for 15 years. How much more will she have for retirement if she contributes $225 at the end of each month for the same period of time, if her investments earn 11.7% compounded monthly? O 24,279.46 O 12,139.73 O 43.281.90 O 21,640.95