! Required information In wisely planning for your retirement, you invest $34,000 per year for 20 years into a 401K tax-deferred account. Assume you make a real return of 10% per year when the inflation rate averages 3.3% per year. How many future dollars will you have in the account immediately after your last deposit? You will have $ ] future dollars in your account immediately after your last deposit.
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- A# man# is# planning# to# retire# in# 20# years.# He# can# deposit# money# for# his# retirement# at# 8%# compounded# monthly.# It# is# estimated# that# the# future# general# inflation# (!)# rate# will# be# 3%# compounded#monthly.#What#deposit,#in# terms#of#constant#dollars, must#be#made#each#month#until# the#man#retires#so#that#he#can#make#annual#withdrawals#of#$20,000,#in#terms#of#actual dollars,#over# the#15#years#following#his#retirement?#(Assume#that#his#first#withdrawal#occurs#at#the#end#of#the#first# year after#his#retirement.)In wisely planning for your retirement, you invest $15,000 per year for 20 years into a 401K tax-deferred account. Assume you make a real return of 10% per year when the inflation rate averages 2.5% per year. How many future dollars will you have in the account immediately after your last deposit? You will have $ future dollars in your account immediately after your last deposit.You just made an investment in an insurance policy that is guaranteed to pay you $2.6 million 20 years from now provided you live that long.What will be the purchasing power of that amount with respect to today's dollars if the market interest rate is 8% per year and the inflation rate stays at 3.7% per year over the 20-year period?The purchasing power of this amount is. Please answer correct calculation asap plz Don't answer by pen paper plz
- Problem ##1Suppose you borrow $ 20,000 at 9% compounded monthly, for 5 years. Knowing that 9% represents the market interest rate, the monthly payment in current dollars will be $ 415.17. If the average monthly headline inflation rate is expected to be 0.5%, what will be the annual equivalent of equal monthly payments in constant dollars?Set the value for periods N in months and the effective interest per month.A machine cost $2,550 on January 1, 2014, and $3,930 on January 1, 2018. The average inflation rate over these four years was 7% per year. What is the true percentage increase in the cost of the machine from 2014 to 2018? (a) 14.95% (b) 54.12% (c) 7.00% (d) 17.58% (e) 35.11%.A series of five constant-dollar (or real-dollar)payments (beginning with $5,000 at the end of thefirst year) are increasing at the rate of 7% per year.Assume that the average general inflation rate is 5%and the market interest rate is 12% during this inflationary period. What is the equivalent present worthof the series?
- Today you borrowed $90,000 from a bank at an interest rate of 10.25%, compounded monthly. You are supposed to repay the loan and its interest charges in equal monthly payments over a 15-year period, with the first payment in a month from now. The estimated annual inflation rate is 6%, compounded monthly.(a) What is the amount of your monthly payments?(b) What is the bank's real effective annual rate of return on this deal after taking inflation into account?Samantha receives a starting salary offer of $60,000 for Year 1. If inflation is 3% each year, what must her salary be to have the same purchasing power in Year 10? Year 20? Year 30? Year 40?Your father is 50 years old and will retire in 10 years. He expects to live for 25 years after he retires, until he is 85. He wants a fixed retirement income that has the same purchasing power at the time he retires as $60,000 has today. (The real value of his retirement income will decline annually after he retires.) His retirement income will begin the day he retires, 10 years from today, at which time he will receive 24 additional annual payments. Annual inflation is expected to be 6%. He currently has $190,000 saved, and he expects to earn 9% annually on his savings. How much must he save during each of the next 10 years (end-of-year deposits) to meet his retirement goal? Do not round your intermediate calculations. Round your answer to the nearest cent.
- this is about Introduction to Decisions Under Certainty on engineering economics subject.. please show your solution. Construction equipment has a cost today of $40,000. If its cost has increased by onlythe inflation rate of 6% per year when the market interest rate has been 10% per year,what was its cost 10 years ago?Given: F = $40,000 n = 10 yearsf = 6% i'f = 10%Omar's current annual salary is $54,000. How much will he need to earn (in dollars) 10 years from now to retain his present purchasing power if the rate of inflation over that period is 2%/year? Assume that inflation is continuously compounded. (Round your answer to two decimal places).A barrel of oil has a current cost of $100/barrel. If general inflation is 2.5%/ year and oil has a real escalation rate of 5%/year, what will a barrel of oil cost in actual dollars five years from now?