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Q5. Your client needs $80,000 each year (in dollar today) 15 years from now for a retirement period of 20 years. The rat
Posted: Thu May 19, 2022 12:02 am
by answerhappygod
- Q5 Your Client Needs 80 000 Each Year In Dollar Today 15 Years From Now For A Retirement Period Of 20 Years The Rat 1 (28.61 KiB) Viewed 48 times
Q5. Your client needs $80,000 each year (in dollar today) 15 years from now for a retirement period of 20 years. The rate of inflation is 4% for the next 15 years compounded annually. There is no social security during retirement. Ignore the rate of inflation and the rate of investment beyond year 15. There is an investment opportunity of 7% (tax exempt) compounded monthly. On a monthly basis, how much should the client deposit each month to achieve this goal. The answer is closer to: a. Less than $90004 b. 90914 c. $113634 d. More than $11425 e. None of the above- Answer