Your uncle has $260,000 invested at 7.5%, and he now wants to retire. He wants to withdraw $35,000 at the end of each year, starting at the end of this year.He also wants to have $25,000 left to give you when he ceases to withdraw funds from the account. For how many years can he make the $35,000 withdrawalsand still have $25,000 left in the end?O a. 6.71 yearsO b. 11.98 yearsOc. 9.39 yearsOd. 11.26 yearsOe. 10.50 years

The above answer can be explained as under - For finding the number of years, the excel function to…

Answered: Your uncle has $260,000 invested at…

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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After retiring, Rachael wants to be able to withdraw $30,000.00 every year from her account for 29 years. Her account earns 7% interest compounded annually. How much does Rachael need in her account when she retires? Rachael needs to have in her account when she retires. am I solving for future value? sorry lost. not sure if I'm trying to find future or present
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Your uncle has $400,000 invested at 7.5%, and he now wants to retire. He wants to withdraw $35,000 at the end of each year, beginning at the end of this year. He also wants to have $25,000 left to give you when he ceases to withdraw funds from the account. What is the maximum number of $35,000 withdrawals that he can make and still have at least $25,000 left in the account? Round your answer to 2 decimal places. Select the correct answer. a. 26.15 b. 24.65 ○ c. 30.65 ○ d. 27.65 Oe. 29.15
When John Michael retired, he had a retirement account with a $910,000 balance. He decided that he would use this account to provide 30 years of equal monthly payments. It is now 19 years later and John Michael just received his 228th montly check. Looking ahead, he can see that he needs to stretch his payments over another 16 years rather than the eleven more he had originally planned. If he does this, how large will his new montly payments be? Assume he earns interest at the APR of 9% compounded monthly throughout his retirement.
9
3. Your parents will retire in 27 years. They currently have $400,000 saved, and they think they will need $1,850,000 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. 4. If you deposit money today in an account that pays 12.5% annual interest, how long will it take to double your money? Round your answer to two decimal places.= years 5. You have $10,043.17 in a brokerage account, and you plan to deposit an additional $5,000 at the end of every future year until your account totals $230,000. You expect to earn 13% annually on the account. How many years will it take to reach your goal? Round your answer to the nearest whole number.= years 6. What's the future value of a 9%, 5-year ordinary annuity that pays $700 each year? If this was an annuity due, what would its future value be? Do not round intermediate calculations. Round your answers to the…
If Mr. X wants to retire at an age of 56 and he wants to accumulate in his bank account at that time TK 1,00,00,000 at the end of 56th year what amount should be deposited each year on a semiannual basis in the bank account to gain that money if the bank gives a rate of 8% on deposits? He is 25 year old now

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