You want to have $2319724 saved for retirement. You plan toretire in 33 years. How...

You want to have $2319724 saved for retirement. You plan to retire in 33 years. How much would you need to save to day to meet your retirement goals if your investment is expected to grow at 6% in the market?

Expert Solution

Amount need for retirement in 33 years is $2319,724

Calculating Present Value today of the amount needed for retirement:-

where, Future value = $2319,724

r = Periodic Interest rate = 6%

n= no of periods = 33

Present Value = $339,111.69

So, the amount you need to save today to meet your retirement goals is $339,111.69

jeff jeffy answered 2 years ago

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