MATH201 – It's All About the Benjamins Assignment – Desrae Sears

It's All About the Benjamins! 3 You and your co-worker Benjamin have both just turned 22 and are having dinner to celebrate. You begin talking about 4 saving for retirement. Your company offers an invesment portfolio that has historically earned 11% interest, compounded 5 semi-annually. You both decide to invest in this portfolio, but you have different investment strategies. 6 7 Benjamin plans to start immediately. He has decided to invest a certain amount of money annually for exactly 8 years. At that point, Benjamin will stop investing in the account and will let the money grow until he turns 65. 8 9 10 You decide you'd rather wait until you are in a better place financially, so you are not going to begin investing until age 30. 11 You will invest the same annual amount as Benjamin and plan to invest that amount every year until you reach age 65. 12 13 You and Benjamin make a friendly bet to see who will have more money in their retirement account at age 65! 14 15 Part I 16 Choose…

Please show working.   Please answer a, b, and c   Your client is 35 years old. She wants to begin saving for retirement, with the first payment to come one year from now. She can save $7,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 8% in the future. a. If she follows your advice, how much money will she have at 65? Do not round intermediate calculations. Round your answer to the nearest cent. $ _________  b. How much will she have at 70? Do not round intermediate calculations. Round your answer to the nearest cent. $ ________ c. She expects to live for 20 years if she retires at 65 and for 15 years if she retires at 70. If her investments continue to earn the same rate, how much will she be able to withdraw at the end of each year after retirement at each retirement age? Do not round intermediate calculations. Round your answers to the nearest cent. Annual withdrawals if she retires at 65: $ ____________ Annual…

You are a young urban professional in your late 20’s and want to save up for your wedding and other life milestones. You decide to invest one million USD at the start of the year in a financial instrument that gives 10,000 every June 30 and an undisclosed amount every December 31. The amount to be given is undisclosed because it will depend on the performance of the financial instrument in the market. You intend not to withdraw this investment until you die.   Assuming an MARR of 9% per semi-annual, compounded semi-annually, compute for the minimum acceptable value X to be paid every December 31.

You’ve landed your first job after graduation. Although retirement may seem like a long way off, you wisely enroll in your company’s retirement programs. In addition to maximizing your company’s 401K match you also plan to contribute $7000 per year to a self-directed fund for 35 years. Starting one year after you make your final contribution to this fund, how much could you withdraw each year from this account forever without impacting the fund’s balance? Assume the fund earns 6% per year.

Your client, Tom, has come to you inquiring about retirement. He wants to know approximately how much (in future dollars) he will need to have saved by retirement. You have calculated that he will need about $182,365 a year to maintain his current life style. He expects to retire at age 64 and live to around 90, and his return on investment averages at 9%. Estimated average inflation is 3%. How much does Tom need to have on day 1 of retirement to meet this goal? O $1,987,422 O $2,127,937 O $2,662,389 O $2,552,815

You are just starting your first job out of college. You and your best friend are competing to see who will have more in their savings when you retire; you both plan to retire at age 52, just 30 years out. You will need $5 million to retire. If you average an annual return of 7% on your investment, how much do you need to put into retirement savings on an annual basis?

Assume that you have just turned 21, are graduating from college, and are planning for your retirement; at age 55. You currently have no money saved, but plan to make significant investments into a retirement account now that you have gotten a high-paying job. Because of moving and additional expenses associated with the start of your new job, you believe that you will only be able to invest $2,000 on your 22nd and 23rd birthdays (2 payments). You then expect to invest $10,000 each year on your 24th through your 30th birthdays (7 payments), $20,000 each year on your 31st through 40th birthdays (10 payments), and $30,000 each year on your 41st through 55th birthdays (15 payments). During this 34-year period you are willing to take some investment risks and you believe that your investment account can earn a nominal annual rate of return of 9 percent, compounded monthly. At age 55 you plan to retire and will use the money in your investment account to buy a 40-year, guaranteed annuity…

You have just graduated, are dead broke, but would still like to buy a new car so that you can show it off on Instagram. Your rich Aunt Amy, who is a retired investment banker at the age of 35 because she knew better, is willing to lend you the money to buy the car, as long as you promise to pay her back in four years. You propose to pay her the rate of interest she would otherwise get by putting the money in the bank, which has deposit and loan rates of 2% and 6%, respectively. Based on your projected income and living expenses, you anticipate that you will be able to pay her $30,000, $40,000, $45,000, and $50,000 at the end of each of the next four years, respectively. Required: (a) If your aunt accepted your proposal, how much would she be willing to lend you today? (b) How much would your aunt have in four (4) years if she chooses not to lend you the money? (c) How much would your aunt have in four (4) years if she chooses to lend you the money? (d) Based on your calculations in…

You have just graduated, are dead broke, but would still like to buy a new car so that you can show it off on Instagram. Your rich Aunt Amy, who is a retired investment banker at the age of 35 because she knew better, is willing to lend you the money to buy the car, as long as you promise to pay her back in four years. You propose to pay her the rate of interest she would otherwise get by putting the money in the bank, which has deposit and loan rates of 2% and 6%, respectively. Based on your projected income and living expenses, you anticipate that you will be able to pay her $30,000, $40,000, $45,000, and $50,000 at the end of each of the next four years, respectively. (a)  If your aunt accepted your proposal, how much would she be willing to lend you today? (b)  How much would your aunt have in four (4) years if she chooses not to lend you the money? (c) How much would your aunt have in four (4) years if she chooses to lend you the money? (d) Based on your calculations in…

1) In a few short years, you will graduate and enter the workforce. Let us suppose that you and a friend both start working at the age of 23 and decide on very different ways to fund your eventual retirement. In this exercise, we explore these decisions. Neither of you have any savings (P = 0), plan to retire at age 66, and expect to earn 8.4% annual interest, compounded monthly, on all your investments. a) Having taken this class, you decide to start immediately, investing $120 per month. How much money will be in your account in 20 years? b) At this point (you are now 43 years old), you will stop making monthly deposits into your account. Now, the amount you calculated in part (a) will accumulate interest for 23 years (until you are 66 years old). How much is in your account now? Indicoob selled pham

Monique Gonzales just graduated and was hired by a new cybersecurity firm in Colorado. She needs to set up her retirement plan portfolio. Monique has completed the following payoff table for different investment options and estimated the potential profits that could be realized in one month. Monique can use the Hurwicz Criterion strategy to make her decision.Payoff Table   State of Nature Alternatives Good Economy Fair Economy Poor Economy Mutual Fund 800800 650650 320320 Stock Market 5,5005,500 4,7004,700 3,1003,100 CDs 1,7001,700 870870 670670 Bonds 550550 320320 185185   Step 2 of 2 :   What is Monique’s potential payoff based on the the Hurwicz Criterion strategy and an α=0.45α=0.45?

In 2003 your parents put 16 million HUF aside for you to help you buy your first apartment. They invested in a fund that promised a return 10.0% yearly, but they have not kept an eye on the fund's performance. It is 2022 today. 1. How much money do you expect your parents to give you today if they liquidate the investment? million HUF 2. You look at the account statement, and are surprised to find that only 48.93 million HUF is in the account. How much was the actual compound annual growth rate of the fund?

Your grandfather urged you to begin a habit of saving money early in your life. He suggestedthat you put $5 a day into an envelope. If you follow his advice, at the end of the year youwill have $1,825 (365 3 $5). Your grandfather further suggested that you take that moneyat the end of the year and invest it in an online brokerage mutual fund account that has anannual expected return of 8%.You are 18 years old. If you start following your grandfather’s advice today, and continuesaving in this way the rest of your life, how much do you expect to have in the brokerageaccount when you are 65 years old?

Vijay

You graduate from college and get your first job. You open a Roth IRA with $2,000 at the age of 25. You invest $3,000 at age 26, $4,000 at age 27, and $5,000 at age 28. You then receive a promotion that brings your incometo a level that disqualified you from making further contributions to the Roth IRA. Construct a table that shows how much will you have in your IRA at the age of 60 if you had invested in an account that paid an averageyield of 8 percent.

Don Hildebrand is trying to decide whether to invest money in a bank or in something a little riskier that will pay a higher return. One very simple investment promises to pay a minimum of 8% compounded annually, but he must leave all of the money and interest invested for 9 years. How much interest will Don earn during the 9 years if he invests $7,150 and the investment pays the minimum?

Your client is 26 years old. She wants to begin saving for retirement, with the first payment to come one year from now. She can save $8,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 10% in the future. A. If she follows your advice, how much money will she have at 65? B. How much will she have at 70?

Waiting period. Susan Norman seeks your financial advice. She wants to know how long it will take her to become a millionaire. She tells you that she has ​$1,675 today and wants to invest it in an aggressive stock portfolio. The historical return on this type of investment is 19​% per year. How long will she have to wait if the ​$1,675 is the only amount she invests and she never withdraws from the market until she reaches her​ $1 million? ​ (Assume no taxes on the​ earnings.) What if the rate of return is only 17​% ​annually? What if the rate of return is only 8​% ​annually? How long will Susan have to wait to become a millionaire if she invests ​$1,675 today at an annual rate of return of 19​%?   nothing years ​ (Round to two decimal​ places.) How long will Susan have to wait to become a millionaire if she invests ​$1,675 today at an annual rate of return of 17​%?   nothing years  ​(Round to two decimal​ places.) How long will Susan have to wait to become a millionaire if she…

2. Marjorie Yan recently retired from work and wants to use a portion of her retirement money for investment. She has two investment options, namely (1) a bond fund, and (2) a stock fund. Each investment would be for one year and will give a return to of 6% for the bond fund and 10% for stock fund. Whatever portion of her retirement money she commits for investment, she wants to invest at least 25% of that amount in the bond fund. Moreover, she wants to select a mix that will give her a total return of at least 7.5%. Marjorie wants to determine the percentage that should be allocated to each possible investment alternative to maximize * returns. 1 Add File

Your client is 29 years old. She wants to begin saving for retirement, with the first payment to come one year from now. She can save $15,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 8% in the future. a. If she follows your advice, how much money will she have at 65? Do not round Intermediate calculations. Round your answer to the nearest cent. $ b. How much will she have at 70? Do not round Intermediate calculations. Round your answer to the nearest cent. $ c. She expects to live for 20 years if she retires at 65 and for 15 years if she retires at 70. If her investments continue to earn the same rate, how much will she be able to withdraw at the end of each year after retirement at each retirement age? Do not round Intermediate calculations. Round your answers to the nearest cent. Annual withdrawals if she retires at 65: $ Annual withdrawals if she retires at 70: $

Your client is 40 years old, and she wants to begin saving for retirement, with the first payment to come one year from now. She can save $5,000 per year, and you advise her to invest it in the stock market, which you expect to provide an average return of 11 percent in the future. If she follows your advice, how much money would she have at 65? How much would she have at 70? If her investments continue to earn the same rate after retirement, How much could she withdraw at the end of each year after retirement for each retirement age?       c. If she expects to live for 20 years in retirement if she retires at 65       d. If she expects to live for 15 years in retirement if she retires at 70,

Please answer me in typing, avoid images and handwriting.   3.You   have just    made your    first    $5,000 contribution to  your    retirement account. Asuming you   earn   an  11  percent rate   of  return and   make no  additional contributions, what will   your    account be  worth when you   retire in  45  years? What if  you   wait    10  years before contributing?(Does this   suggest an  investment strategy?)

Urgent please