Mathematics College

Daryl wishes to save money to provide for his retirement. He is now 30 years old and will be
retiring at age 64. Beginning one month from now, he will begin depositing a fixed amount into
a retirement savings account that will earn 12% compounded monthly. Then one year after
making his final deposit, he will withdraw $100,000 annually for 25 years. In addition, and after
he passes away (assuming he lives 25 years after retirement) he wishes to leave in the fund a sum
worth $1,000,000 to his nephew who is under his charge. The fund will continue to earn 12%
compounded monthly. How much should the monthly deposits be for his retirement plan?

Answers

Answer 1

Answer:

Step-by-step explanation:

Today's Age = 30

Retirement Age = 64

Total Monthly Deposits = ( 64 - 30 ) * 12 = 408

In case of 12% Compounded Monthly , Interest Rate per month = ( 12% / 12 ) = 1%

Effective Interest Rate per year = ( 1 + 0.12/12 )12 - 1 = 1.1268 - 1 = 0.1268 = 12.68%

Present value of Annual 25 Years withdrawal of $100,000 at time of Retirement = $100,000 * PVAF ( 12.68% , 25 )

= $100,000 * 7.4864

= $748,642.20

Present Value of Money for nephew at time of Retirement = $1,000,000 * PVF ( 12.68% , 25 )

= $1,000,000 * 0.050535

= $50,534.52

Now the Present Value of total Amount Required at time of Retirement = $748,642.20 + $50,534.52

= $799,176.70

Now the monthly deposit be X

= X * FVAF ( 408 , 1% ) = $799,176.70

= X * 5752.85 = $799,176.70

X = $138.918

Therefore Monthly Deposit = $138.92

Related Questions

7.6 cm
3.7 cm
Find the area of the parallelogram.

Answers

Answer:

7cm²

Step-by-step explanation:

Simplify (-2x^3)2•y•y^9

Answers

Answer: -4x^3 y^10
-2x^3 • 2 = 4 (because 2•2 is 4, they don’t share the same variable so you just multiply the base)
y^9 • y^1 (9+1=10)

-4x^3 y^10

Simplify (-2x^3)^2 •y•y^9       Answer 4x^6y^10

568,924,126 each digit stands for what

Answers

Answer:

500,000,00060,000,0008,000,000900,00020,0004,000100206

Step-by-step explanation:

To find what a digit stands for, make all the other digits zero.

This is substantially what we do when we write the number in "expanded form."

  568,924,126

  = 500,000,000 +60,000,000 +8,000,000 +900,000 +20,000 +4,000 ...

     ... +100 +20 +6

The list of numbers in the sum is the list of numbers the digits stand for.

Find the area of the shape

Answers

I think the answer will be 78.5

What function has zeros at x=10 and x=2

Answers

Answer:

  f(x) = x^2 -12x +20

Step-by-step explanation:

There are an infinite number of functions with zeros at those values of x. One simple polynomial function with those zeros is ...

  f(x) = (x -10)(x -2) . . . . . each zero contributes a factor

  f(x) = x^2 -12x +20

Tate is paid $17.35 per hour with time and a half overtime. What will his gross pay period in which he worked 35 hours one week and 44 hours next week for a total 79 hours?

Answers

Answer:

The new rule has a higher salary level for exemption from overtime, at $684 a week. This means that lower-pay exempt employees may qualify for overtime.

Step-by-step explanation: this is your answer plz rate e the most brainlest

Andre hit 46 balls at practice. He hit no fewer than 20 less than double the number of hits Jason had. Which inequality represents the situation if j represents the number of hits Jason had?
46 minus 20 less-than 2 j
2 j minus 20 less-than-or-equal-to 46
46 minus 20 less-than-or-equal-to 2 j
2 j minus 20 greater-than-or-equal-to 46

Answers

Answer:

  2j -20 ≤ 46

Step-by-step explanation:

"20 less than double the number Jason [hit]" can be represented by 2j-20.

We are told that 46 is no fewer than this value, so it is greater than or equal to this value:

  46 ≥ 2j -20

  2j -20 ≤ 46 . . . . . swapping sides to match answer choices

Answer:

2j -20 ≤ 46

Step-by-step explanation:

Other Questions
HELP ME!!!!!!!!!!!!!!!Select the correct answer.How would you describe the child in Elizabeth Bishop's "Sestina"?A. unrulyB. spoiledC. imaginativeD. disrespectful In As I Lay Dying, what was Anse hoping to pay for someday? A. Addie's medical bills B. New windows close C. His youngest son's education done D. New teeth What are the steps of finding the Circumference of a circle explain nuclear fusion briefly What does the Constitution do?1. sets up and defines the government2. draws boundaries of congressional districts3. sets codes of conduct for obeying local and federal laws4. determines whether citizens are prosecuted to the full extent of the law I need help nothing is working for the answer p3> 2 According to the websites, which of the following has not contributed to the Spanish language?LatinNative American languagesb.African languagesd.Germana.C.Please select the best answer from the choices providedDMark this and return What is the sum of 1-2 and V-18? 7h=-(2h-18)7h=(2h18) Solve for h Bob, Kara, and Mark are partners in the BKM Partnership. Bob is a 40% partner and has a June 30 tax yearminusend. Kara owns a 40% interest in the partnership and has a September 30 tax yearminusend, and Mark owns the remaining 20% interest and has an October 31 tax yearminusend. The partnership does not have a natural business year. What is the required tax yearminusend for the partnership (if no Sec. 444 election is made)? A. September 30 B. October 31 C. December 31 D. June 30 Determinado automovel, apos sua compra, perde 10% do valor ano a ano nos 3 preimeiros anos. Calcule o valor do automovel ao final desse periodo sabendo que ele foi comprado por R$80.000 list the importance of vaccines to mankind? The mole concept will most likely be used incalculating the average height of a mountain range.measuring how many liters of gasoline are poured into a tank.determining how many ozone molecules are lost in the atmosphere.finding the mass of a piece of steak in a butcher shop. I will give you 50 points and mark you brainliest what was unusual about Guillaume de Machaut's most famous composition? I etavidewifdwcvefoewf What do you need to do to be a media-literate person? Ben makes $39,600 a year. What the maximum amount he can afford for a mortgage each month ? What was president Johnsons broad program of domestic policies called Write a program whose input is a character and a string, and whose output indicates the number of times the character appears in the string.Ex: If the input is:n Mondaythe output is:1Ex: If the input is:z Today is Mondaythe output is:0Ex: If the input is:n It's a sunny daythe output is:2Case matters.Ex: If the input is:n Nobodythe output is:0n is different than N.This is what i have so far. #include #include using namespace std;int main() {char userInput;string userStr;int numCount;cin >> userInput;cin >> userStr;while (numCount == 0) {cout