Chris refuses to retire until her retirement account has a balance of at least $300,000. Chris...

Chris refuses to retire until her retirement account has a balance of at least $300,000. Chris also refuses to make any additional deposits into the account. The account currently has a balance of $100,000 and earns 4% per year, compounded quarterly. How long does Chris have before she will retire?

Solutions

Expert Solution

jeff jeffy answered 2 years ago

Next > < Previous

Related Solutions

Mary would like to retire in 30 years with at least $2.3 million in her account....

Mary would like to retire in 30 years with at least $2.3 million in her account. However, she is seeking an overdraft of $120,000 to buy furniture for her new house today. A bank is ready to give her the overdraft and charges an interest rate of 6% per year. What deposit will she have to make into her account at the start of every quarter to achieve her goal?

Tanner is going to retire tomorrow. He has $1,600,000 in his retirement account. His account earns...

Tanner is going to retire tomorrow. He has $1,600,000 in his retirement account. His account earns 6.00% annually. He wants to make an annual withdrawal of $150,000 from the account. How many years will he be able to make this same withdrawal before the fund runs out of money? 30 years (approx) 22 years (approx) 17.5 years (approx) 27.3 years (approx)

You plan to retire one year from now.Your current balance in your tax-deferred retirement account...

You plan to retire one year from now. Your current balance in your tax-deferred retirement account is $730,798, and you don't plan additional contributions. You plan to draw down retirement account by taking equal annual payouts for 30 years. When you draw a payout, you plan to deposit it in a checking account to cover expenses for the upcoming year. Thus, on the day that you retire, you will draw a payout to cover your first year in retirement; one...

Tyler plans to retire in 20 years and has just established a personal retirement account where...

Tyler plans to retire in 20 years and has just established a personal retirement account where the annual return rate is 8%. If at the end of every month in the coming 20 years, Tyler will deposit $500 in the retirement account, what’s the monthly amount (at the end of each month) he can withdraw from this retirement account in the 10 years after retirement

Tom has a self-managed retirement plan through her company and would like to retire in 10...

Tom has a self-managed retirement plan through her company and would like to retire in 10 years and wonders if her current and future planned savings will provide adequate future retirement income. Here are her goals and other relevant information: Tom wants a 25-year retirement annuity that begins 11 years from now (end of year 11) with a constant annual payment equal to $50,000 in today’s dollars adjusted for 2 % inflation over the 11-year period. Tom currently has $200,000...

Prof. Business has a self-managed retirement plan through her University and would like to retire in...

Prof. Business has a self-managed retirement plan through her University and would like to retire in 8 years and wonders if her current and future planned savings will provide adequatefuture retirement income. Here’s her information and goals. Prof. Business wants a 20-year retirement annuity that begins 8 years from today with an equal annual payment equal to $110,000 today inflated at 2% annually over 8 years. Her first retirement annuity payment would occur 8 years from today. She realizes her...

Suppose you plan to retire in 33 years. Today, your retirement has a balance of 500,000....

Suppose you plan to retire in 33 years. Today, your retirement has a balance of 500,000. If you can earn 3% per year in your retirement account, how much more do you need to deposit now so that you can have 2.9 million when you retire? 1. 694,761.60 2. 1,593,376.12 3. 1,093,376.12 4. 593,376.12

Laquita deposits $5500 in her retirement account every year. If her account pays an average 6%...

Laquita deposits $5500 in her retirement account every year. If her account pays an average 6% interest and she makes 38 deposits before she retires, how much monet can she withdraw in 20 equal payments beginning one year after her last deposit? please show cash flow diagram and solve NOT with excel but with the interest rate formula equations!!!

You have 34 years left until retirement and want to retire with $4.6 million. Your salary...

You have 34 years left until retirement and want to retire with $4.6 million. Your salary is paid annually, and you will receive $72,000 at the end of the current year. Your salary will increase at 4.5 percent per year, and you can earn a 12.5 percent return on the money you invest. If you save a constant percentage of your salary, what percentage of your salary must you save each year?

Suppose you have 25 years until you retire, and that you desire a retirement nest-egg of...

Suppose you have 25 years until you retire, and that you desire a retirement nest-egg of $2,500,000 on the day you retire. Suppose also that you’ve saved $100,000 toward your retirement so far, and that your investment account earns a nominal rate of 7.5% per year, compounded monthly. In addition, suppose you expect a windfall inheritance of $200,000 five years from now that you will invest in this account. a) What is the effective interest rate, or annual percentage yield,...

Subjects