Our clients saved $2,500,000 for retirement. They wish to withdraw $20,000 from the fund each month for expenses. How long will their retirement savings last if the fund is earning 3% APR compounded monthly?

Our clients saved $2,500,000 for retirement. They wish to withdraw $20,000 from the fund each month for expenses. How long will their retirement savings last if the fund is earning 3% APR compounded monthly?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

ChapterM: Time Value Of Money Module

Section: Chapter Questions

Problem 9RE

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Our clients saved $2,500,000 for retirement. They wish to withdraw $20,000 from the fund each month for expenses. How long will their retirement savings last if the fund is earning 9% APR compounded monthly?