- Your Sister Turned 40 Today And She Is Planning To Save 7 500 Per Year For Retirement With The First Deposit Made One 1 (86.35 KiB) Viewed 37 times
Your sister turned 40 today, and she is planning to save $7.500 per year for retirement, with the first deposit made one
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Your sister turned 40 today, and she is planning to save $7.500 per year for retirement, with the first deposit made one
Your sister turned 40 today, and she is planning to save $7.500 per year for retirement, with the first deposit made one year from today and the last deposit made on her 65t birthday. She currently has no retirement savings. She will invest in a mutual fund, which she expects to provide a return of 8% per year throughout her lifetime. She plans to retire 25 years from today when she turns 65. She will make a total of 20 annual withdrawals-with her first withdrawal made on her 66TM birthday, and the last withdrawal made when she is 85. After the last withdrawal there will be $250,000 left in the account. Under these assumptions, how much can she withdraw from the account each year after she retires? 1. $46,649.96 2. $48,522.33 3. $50,381.96 4. $55,845.01 5. $61,308.06