A 45-year-old woman decides to put funds into a retirement plan. She can save $2,000 a                                        year and earn 6 percent on this savings. How much will she have accumulated if she retires                                 at age 65? At retirement how much can she withdraw each year for 20 years from the             accumulated savings if the savings continue to earn 6 percent?

Q: how long in years and months will she receive the payments

A: RRSP: RRSP stands for Registered Retirement Savings Plan. RRSP is a kind of retirement savings and…

Q: Abby has decided to invest $60 at the end of each month into a retirement plan that has an annual…

A: Computation of the money that will be saved by Abby at the completion of 8 years is shown:

Q: Calculate the return that Lin Shan is earning on her annuity.

A: Given, Investment - PV = 1000000 Payment - PMT = 60000/2 = 30000 years - N = 15 Period - m = 15*12 =…

Q: Your sister turned 35 today, and she is planning to save $85,000 per year for retirement, with the…

A: Given Information: Annual payment is $85,000 for 30 years Interest rate is 7.5%

Q: A civil engineer planning her retirement will deposit 10% of her salary each year into a…

A: Using formulae, Future Value =Present Value * (1+rate)^n Where n = no. of years till end

Q: Your friend is celebrating her 30th birthday today and wants to start saving for her anticipated…

A: The process which helps a person in determining the amount required at the time of retirement and…

Q: Molly Lincoln, a 30-year-old personal loan officer at First National Bank, understands the…

A: 1) Hence, the account balance after 65 years is $1021906.79.

Q: Kathryn, believing that life begins at 40, decided to retire and start enjoying life ar age of 40.…

A: To calculate the present value from the given future value for the given rate and specified period…

Q: Mary just turned 31 years old today and she is saving for her retirement. This is her plan. She will…

A:

Q: Una Day is planning to retire in 20 years, at which time she hopes to have accumulated enough money…

A: Retirement fund:  A retirement fund is a particular fund into which people contribute money in order…

Q: A man has just taken retirement at age 50. He will receive 5,000 monthly in retirement benefits…

A: Time value tells that money received today has more value than that of receiving the exact value…

Q: If they make annual payments into a savings plan, how much will they need to save each year ?

A: Information Provided: Retirement time = 50 years Amount to be spend = $38,000 Interest rate = 9%

Q: 1) Sabrina waits to start saving for retirement until age 35. If she saves the same $8000 each year…

A: Annual saving (P) = $8000 Period from 35th year to 65th year (n) = 30 Interest rate (r) = 7.00%

Q: A civil engineer planning for her retirement places 11% of her salary each year into a…

A: As per the information provided the engineer will draw an amount of $160,000 at the end of the first…

Q: 3. A 45-year-old woman decides to put funds into a retirement plan. She can save $2,000 a year and…

A: Calculation of accumulated savingsThere is 20 years between 45 to 65 years. Hence the duration of…

Q: Janice is hoping to save $200,000 by the time she retires in 20 years. How much must Janice deposit…

A: Future value is::$200000.. Contribution annually.. Rate of Interest is:::4%.... Required Deposit…

Q: a couple has 25,000 in their retirement savings today. How many years do they have to save at 6%,…

A: Present Value The present value is the value of cash flow stream or the fixed lump sum amount at…

Q: Carol wants to have $500,000 when she retired in 25 years.  Her credit union has an ordinary annuity…

A: GIVEN, FV = $500,000 N=25 M=12 R=4%

Q: A couple will retire in 50 years; they plan to spend about $30,000 a year in retirement, which…

A: Time value of money is the concept widely followed by the management and many companies to determine…

Q: A couple will retire in 50 years; they plan to spend about $35,000 a year in retirement, which…

A: given information   reirement period = 25 years spend in a retirement period for a year $35,000…

Q: You start working at age 23 and you plan to deposit $5,100 in a savings account every year (end of…

A:

Q: Baby boomers can save up to $24,000 per year in a 401(k) account. If Eileen’s starting balance at…

A: Given information: Balance at time 0 = $200,000 Annual savings = $24,000 Interest rate = 7%

Q: Sydney saved $50,000 during her first year of work after college and plans to invest it for her…

A: The future value method is an important tool of the time value of money. It helps in the…

Q: At the age of 25 Riley starts saving for retirement. If his investment plans pay an APR of 6%…

A: We will use the concept of time value of money here. As per the concept of time value of money the…

Q: a young woman, 22 years old, has just graduated from college. she accepts a good job and desires to…

A: Dear student, we need to use excel NPER function to calculate number of years of deposit that…

Q: Beverly is considering starting her small family business in five years’ time. She has decided to…

A: Investors are supposed to estimate the value of investment with the interest rates and time period.…

Q: John is currently 25 years old. He has $10,000 saved up and wishes to deposit this into a savings…

A: John age = 25 years he saved up to = $10000     annual interest rate = 6% 0.06/12 = 0.005  every…

Q: Mary plans to make the following contributions to her retirement account: $10,000 for each of the…

A: In order to find how much money she will have one has to calculate the future value after 20 years.

Q: Suppose your friend is celebrating her 35th birthday today and wants to start saving for her…

A: Future Value:   The future value is the amount that will be received at the end of a certain period.…

Q: Theresa figures she needs $200,000 in ten years to pull off an early retirement to an undisclosed…

A: The future value of the annuity is the total value of all the payments which is occurred regularly…

Q: A couple just got married and they are both 25 years of age.  They each plan to retire in 40 years…

A: Amount Required after retirement =200000 per  year After retirement years (n1) =20 Interest Rate(r)…

Q: Suzette is receiving $10,000 today, $15,000 one year from today, and $25,000 four years from today.…

A: GIVEN, PV0= $10,000 PV1= $15,000 PV4= $25,000 R= 9.6% N = 30

Q: Munira Al Falasi is 40 years old. She wants to begin saving for retirement with the first payment to…

A: Future Value is the amount in future at a specified date which is equal to the value of the…

Q: Your parents will retire in 19 years. They currentlyhave $350,000 saved, and they think they will…

A: A theory that helps to compute the present or future value of the cash flows is term as the TVM…

Q: Beth is 35 years old and wants to set up a payout annuity. She plans to retire at age 65 and wants…

A: COLA Rate after inflation=2.9*1.029=2.98% First payout=$24000 Years=20 Present value of all payout=?

Q: A civil engineer planning for her retirement places 9% of her salary each year into a…

A: Salary = $160,000 Percentage in the retirement plan = 9%  Growth rate = 5%  Time period = 16 years…

Q: Your parents will retire in 17 years. They currently have $310,000 saved, and they think they will…

A: Future value = present value * (1+r)^n Where r= rate of interest n= compounding year

Q: Jamie wants to have $800,000 for her retirement in 25 years. How much should she save annually if…

A: The present value is the value of the sum received at time 0 or the current period. It is the value…

Q: Tala McLouf, a 21-year-old BBA graduate, likes to plan for her future ahead, and would like to save…

A: Since the question has more than 3 sub-parts, the first 3 subparts are answered. If you want the…

Q: John is currently 25 years old. He has $10,000 saved up and wishes to deposit this into a savings…

A:

Q: A couple will retire in 40 years; they plan to spend about $27,000 a year in retirement, which…

A: values provided according to question, A=$27000R=7%N=20 YEARS TOTAL AMOUNT NEEDED FOR RETIREMENT…

Q: What annual interest rate must they earn to reach their goal, assuming they don't save any…

A: Information Provided: Term = 29 years Present value = $250,000 Future value = $2,250,000

Q: A young engineer wants to retire at 60.  They want to have $50,000 a year to augment social…

A: Using the present value concept gives the amount of money you need to save at the start of…

Q: Amy Johnson wants to retire on $75,000 per year for her life expectancy of 20 years after she…

A: The cash flows discussed here are annuities where an equal amount is paid each period.

Q: Jackie is 34 years old. She would like to have $850,000 in her retirement account when she is 65…

A: An annuity is a stream of equivalent periodic cash flows occurring at equal time intervals. The…

Q: f Sarah’s retirement plan earns 5.75% compounded monthly, what amount will she have when she turns…

A: Future Value: It is the future worth of the investment or cashflows at a future point in time,…

Q: Two people plan to invest $50,000. Matt is going to invest it in one lump sum and leave it in the…

A: Future value of investment is the compounded value of all the cash flows in the tenure of the…

Q: 20-year old woman wants to retire as a millionaire by the time she turns 50. How much will she have…

A: this is the case of the simple annuity where you pay a certain amount at the end of the year to have…

Q: A couple will retire in 40 years; they paln to spend about $23,000 a retirement, which should last…

A: The stream or series of payments that are to be made at specific time intervals is known as annuity.…

Cash and Liquid Asset Management

Cash management is the process of controlling cash inflow & cash outflow, managing the cashflows inside the business, and utilizing the cash for business operation at any point in time. A business has to maintain a certain level of cash to meet various financial obligations. Cash management is essential because businesses must utilize the cash to generate maximum profit. Cash management also ensures to maintain maximum liquidity in the business.