You are planning your retirement in 10 years. You currently have $164,000 in a bond account...

You are planning your retirement in 10 years. You currently have $164,000 in a bond account and $604,000 in a stock account. You plan to add $7,600 per year at the end of each of the next 10 years to your bond account. The stock account will earn a return of 10.5 percent and the bond account will earn a return of 7 percent. When you retire, you plan to withdraw an equal amount for each of the next 21 years at the end of each year and have nothing left. Additionally, when you retire you will transfer your money to an account that earns 6.25 percent.

Required:

How much can you withdraw each year in your retirement

Expert Solution

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As nothing was mentioned excel is used.

jeff jeffy answered 1 year ago

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