John is currently 25 years old. He has $10,000 saved up and wishes to deposit this into a savings account which pays him J12 = 6% p.a. He also wishes to deposit $X every month into that account so that when he retires at 55, he can withdraw $2000 every month end to support his retirement. He expects to live up till 70 years. How much should he deposit every month into his account? Draw a timeline for this question and solve? Timeline is compulsory.

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

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

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

A: Ordinary annuity would be considered as the annuity payment made at the end of the year and annuity…

Q: Macon would like to begin planning for retirement. He has as of his 60th birthday collected $200,000…

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

Q: Eugene began to save for his retirement at age 26, and for 10 years he put $ 425 per month into an…

A: Here we have to use the concept of future value to determine the retirement amount.  The amount…

Q: Magnus wishes to have $1,500,00 when he retires in 44 years. What are the monthly payments he must…

A: Future value of annuity = P * [ (1+r)^n  - 1 ] /r  Where, Future value of annuity = 150000 n = 44 r…

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: Jessica is 25 year old now and he wants to start saving up for her retirement fund.She will retire…

A: Retirement planning is the calculation of requirement of a lum sum corpus for the time period when a…

Q: Michelle is 25 years old and has decided to start a retirement program. Beginning in exactly one…

A: Time period is 30 years Annual savings are $15,000  Interest rate is 4% To Find: Amount saved for…

Q: Sally is 25 years old and has decided to start a retirement program. Beginning in exactly one year,…

A: We need to use future value of ordinary annuity formula to calculate total saving value at the time…

Q: Joanna is making a financial plan for her retirement. Today is her 35th birthday, and she receives…

A: Present Value(PV) is value of amount of series of amount that is paid or received at future date. It…

Q: Joe Doe is currently 65 years of age. He is currently drawing $20,000 a yearout of his IRA. He…

A: Person JD needs to have some amount of money in his account today to draw $20,000 at the beginning…

Q: At the age of 35 John began contributing 10,500 Php every month to a retirement fund. If his money…

A: Using excel nper function

Q: Jane just turns 30 years old and wants to start a savings plan, where she contributes $X every month…

A: Given:

Q: Currently, Ally Gator has saved $15,000 in her retirement account. Ally plans on saving $6000…

A: The present value of cash flows presents the discounting value of future cash flows that arises in…

Q: . Agunton is planning for her retirement. He is 30 years old today and would like to have N500,000…

A:

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

A:

Q: A 40-year-old woman decides to put funds into a retirement plan. She can save $1,000 a year and earn…

A: We need to calculate the persent value of annuity  by using this formula.    PV of annuity =CF*…

Q: Bob has saved a total of ₱2,550,000.00 for retirement. He put the money in a mutual fund which pays…

A: We need to use annuity formula given below to calculate size of monthly withdrawal PMT…

Q: Charles wants to retire in 17 years. At that time he wants to be able to withdraw​ $22,000 at the…

A: Here, Retirement will be in 17 years Amount withdrawn is $22,000 Time duration of withdrawals is 19…

Q: Craig and sally just got married .they want to have $750.000 in a retirement account in 40 years .…

A: We need to use future value of annuity formula for calculation of periodic  deposit to achive 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: Van, age 40, is starting his savings plan this year by putting away $2,200.00 at the end of every…

A: Future value It is a value that a person will receive in the future on an investment that is done…

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: Daryl wishes to save money to provide for his retirement. He is now 30 years old and will be…

A: To withdraw some annual amounts after retirement and to leave some amount after 25 years of his…

Q: Kyle needs to have ₱ 37,000,000 for retirement in 10 years. His account earns 3% interest.  How…

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

Q: Your uncle has $375,000 and wants to retire. He expects to live for another 25 years, and he also…

A: The mathematical equation is:

Q: Michael is updating his estate plan for himself and his family. He would like to provide an income…

A: Annuity means finite no. of payments which are same in size and made in equal intervals for the…

Q: Omar was given $1,000,000 on his 2nd birthday. The money is put into an account that pays 4%…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: How much should Mr. Reyes deposit each year

A: An annuity is a fixed amount that is deposited by an investor over a certain period at a fixed…

Q: ne began to save for his retirement at age 30, and for 13 years he put $ 250 per month into an…

A: Future value of annuity is the future value of all the stream of cash flow. Future value of annuity…

Q: Frank buys a house at age 48 for $600,000 by making a $170,000 down payment and securing a 30-year…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: On Juan’s 26th birthday, he invested $7,500 in a retirement account. Each year thereafter he…

A: Rate of interest=5%,0.05               Time=35 Number of years=10Amount=Principal1+rateyears…

Q: Alexandra is 30 years old today, and she is planning to retire at age 65. Her current salary is…

A: The payment for retirement funds is 10% of income but because the income is increasing by 5%, the…

Q: A young man has decided to go into business at age 40. He wishes to accumulate P200,000.00 at that…

A: Given: Future Value = P200,000 Current Value invested = x Deposit will increase each year by 10%…

Q: Karen has been depositing $150 at the end of each month in a tax-free retirement account since she…

A: According to the time value of money concept, the value of money today will be more worth as…

Q: John, a 25-year-old teacher, wants to start saving for his retirement. John wants a comfortable…

A: Given:

Q: Adele is planning for retirement. She would like to have $75,000 in her hand at the beginning of her…

A: Retirement means quite simple end of a phase of working for a time of years.This span of retirement…

Q: calculate the amount of money she would have to invest in equal annual amounts to achieve her…

A: The future value of an investment is the expected value of money that will be received after a…

Q: s

A: Given  n =30 i =11%   Now Find the value of his account when he is 60 years old.

Q: Benjamin wants to have $12,000 in 15 years after investing in an account that earns 4.2% compounded…

A: Future  Value or Amount that Benjamin wants is $12,000 Time period is 15 years Interest rate is 4.2%…

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

A:

Q: John is 20 years old now (t=0). He wants to retire on his 50th birthday (t=30) with $1 million on…

A: The Future Value of annuity: The one million dollars that John wants when he retires is the Future…

Q: Michael is updating his estate plan for himself and his family. He would like to provide an income…

A: Solution- Present value of future withrawal ason 10.5 years=Monthly withdrawal ×Present value…

Q: Bill is twenty-five years from retirement; in order to retire, Bill needs ngs account when he…

A: The concept of the time value of money states that the current worth of money is more than its value…

Q: tarting 10.5 years from now and continuing for the next 20 years. He has started his account with an…

A: Annuity is a concept of uniform series of equal payment throughout the given time period. It can be…

Q: Rodney would like to save $57,000 over the next 15 years. How much must he deposit at the beginning…

A: Annuity refers to the fixed periodic payments which are paid monthly, quarterly, semi-annually or…

Q: If Rex wants to be a millionaire by the time he retires (45 years from now), how much does he need…

A: Present Value: It represents the present worth of the future amount and is computed by the…