What does Shelley need to save monthly to make sure she is on track to reach her retirement goal of having $440,000 saved by the time she reaches age 65? She is 48 years old, has been contributing $400 per month and has $180,000 in her RRSP. Assume she will make an annual return of seven percent. Question 12Select one: a. $1275 b. $336 c. $681 d. $1133
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- What does Shelley need to save monthly to make sure she is on track to reach her retirement goal of having $440,000 saved by the time she reaches age 65? She is 48 years old, has been contributing $400 per month and has $180, 000 in her RRSP. Assume she will make an annual return of seven percent. Select one: a. $1275 b. $336 c. $681 d. $1133Question 6 John Adams plans to retire at the age of 62. He wants an annual income of $60,000 per year. He believes that he will live to be 87. He will draw the money at the beginning of each year. How much money will he need when he retires in order to support his $60,000 annual life style if he will average 12 percent per year on his retirement account? a. $527,059 b. $470,586 c. $439,800 d. $505,302Jim Hunter has decided to retire to Florida in 10 years. What amount should Jim invest today so that he'll be able to withdraw $25,000 at the end of each year for 30 years after he retires? Assume he can invest money at 9% interest compounded annually. A. $18,790.27 B. $105,470.27 C. $10,480.27 D. $108,490.27
- Your parents are planning to retire in 20 years. They currently have $1,000,000 and they would like to have $5,000,000 when they retire. What annual rate of interest would they have to earn on their $1,000,000 to reach their goal, assuming they save no more money? Question 1Answer a. 9.53% b. 8.01% c. 6.74% d. 8.38%How much money does Suzie need to have in her retirement savings account today if she wishes to withdraw $25 000 at the end of each year for 30 years? She expects to earn an average rate of return of 6%. $324 642.24 $331 288.67 $333 333.33 $344 120.78How much money does Suzie need to have in her retirement savings account today if she wishes to withdraw $25,000 a year for 3 years? She expects to earn an average rate of return of 13 percent. A. $59,028.81 OB. $65,419.81 OC. $71,533.33 OD. $85,160.98 E. $87,391.34
- Assume your goal in life is to retire with one million dollars. How much would you need to save at the end of each year if interest rates average 4% and you have a 25-year work life? Question 7Answer a. $40,000 b. $24,012 c. $200,204 d. $752,952Sara wants to have $530,000 in her savings account when she retires. How much must she put in the account now, if the account pays a fixed interest rate of 9%, to ensure that she has $530,000 in 18 years time? OA. $112,357 OB. $202,243 OC. $119,492 O D. $157,300How long would it take for you to save an adequate amount for retirement if you deposit $40,000 per year into an account beginning today that pays 12 percent per year if you wish to have a total of $1,000,000 at retirement? O a. 12.2 years O b. 10.5 years O c. 14.8 years O d. 11.5 years
- Problem #3 Natasha, age 62, purchases an annuity for $43,200. Natasha will receive $400 per month for the rest of her life. The expected return multiple is 22.5. (this factor is from Table 3-1, page 3-21) Question: At age 65, Natasha may exclude what amount from income?Jeni has decided that she needs to start saving for her retirement. She can afford $100 a month deducted automatically from her paycheck. She deposits it into an account that earns 4.5% interest compounded monthly. How much will she have in her account when she retires 42 years later? A. $ 14,922.70 B.$ 50,400.00 C. $132,213.00 D. $149,226.96D Listen Ms. Spencer just retired with $360,000 in her retirement account. Assuming that she can earn 4.8% compounded monthly on her funds, how many month-end withdrawals of $4,000 will she be able to take before the fund is depleted? Round your answer to 2 decimal places. Your Answer: Answer