What must the contributions be


Discussion Post: Finance

Derek plans to retire on his 65th birthday. However, he plans to work part-time until he turns 74.00. 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 74.0 when he fully retires, he will begin to make annual withdrawals of $192,688.00 from his retirement account until he turns 94.00. After this final withdrawal, he wants $1.24 million remaining in his account. He 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.

The response must include a reference list. Using Times New Roman 12 pnt font, double-space, one-inch margins, and APA style of writing and citations.

Solution Preview :

Prepared by a verified Expert
Financial Management: What must the contributions be
Reference No:- TGS03169295

Now Priced at $20 (50% Discount)

Recommended (93%)

Rated (4.5/5)