Question
In: Finance
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he turns 71.00. During these years of part-time work, he will neither make deposits to nor take withdrawals from his retirement account. Exactly one year after the day he turns 71.0 when he fully retires, he will begin to make annual withdrawals of $132,820.00 from his retirement account until he turns 93.00. He will make contributions to his retirement account from his 26th birthday to his 65th birthday. To reach his goal, what must the contributions be? Assume a 6.00% interest rate.
Solutions
jeff jeffy answered 1 year agoRelated Solutions
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 70.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 70.0 when he fully retires, he will begin to make
annual withdrawals of $138,803.00 from his retirement account until
he turns 90.00. He he will make contributions to his retirement
account from his 26th birthday...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 72.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 72.0 when he fully retires, he will begin to make
annual withdrawals of $128,600.00 from his retirement account until
he turns 88.00. After this final withdrawal, he wants $1.02 million
remaining in his account. He...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 75.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 75.0 when he fully retires, he will begin to make
annual withdrawals of $196,714.00 from his retirement account until
he turns 85.00. After this final withdrawal, he wants $1.64 million
remaining in his account. He...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 72.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 72.0 when he fully retires, he will begin to make
annual withdrawals of $117,576.00 from his retirement account until
he turns 93.00. He he will make contributions to his retirement
account from his 26th birthday...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 71.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 71.0 when he fully retires, he will begin to make
annual withdrawals of $161,481.00 from his retirement account until
he turns 87.00. He he will make contributions to his retirement
account from his 26th birthday...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 73.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 73.0 when he fully retires, he will begin to make
annual withdrawals of $191,169.00 from his retirement account until
he turns 89.00. After this final withdrawal, he wants $1.03 million
remaining in his account. He...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 75.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 75.0 when he fully retires, he will begin to make
annual withdrawals of $128,885.00 from his retirement account until
he turns 94.00. He he will make contributions to his retirement
account from his 26th birthday...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 73.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 73.0 when he fully retires, he will begin to make
annual withdrawals of $171,973.00 from his retirement account until
he turns 91.00. He he will make contributions to his retirement
account from his 26th birthday...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 71.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 71.0 when he fully retires, he will begin to make
annual withdrawals of $123,803.00 from his retirement account until
he turns 90.00. After this final withdrawal, he wants $1.88 million
remaining in his account. He...
Derek plans to retire on his 65th birthday. However, he plans to work part-time until he...
Derek plans to retire on his 65th birthday. However, he plans to
work part-time until he turns 75.00. During these years of
part-time work, he will neither make deposits to nor take
withdrawals from his retirement account. Exactly one year after the
day he turns 75.0 when he fully retires, he will begin to make
annual withdrawals of $160,071.00 from his retirement account until
he turns 91.00. He he will make contributions to his retirement
account from his 26th birthday...
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