You want to be a millionaire when you retire in 45 years. How much do you have to save each month if you can earn a 12 percent annual return. ÖÖ 11:05 /

Q: You want to retire in 25 years. You currently have $200,000 saved and you believe you need…

A: The concept of time value of money will have to be used here.  As per the concept of time value of…

Q: You want to be a millionaire when you retire in 40 years. How much do you have to save each month…

A: The future value of the annuity is the future worth of a series of cash flow deposited at a rate of…

Q: Your financial advisor has encouraged you to save $500 each month for retirement. You expect to…

A: Money at the end of 40 Years  = Monthly deposit × 12 months × Years of Deposit = $500 × 12 × 40 =…

Q: You always dream to be a millionaire in your entire life and you have only $5,000 to invest  now.…

A: Solution:- We know when an amount is invested, it earns interest. The amount initially deposited is…

Q: You have decided that you want to be a millionaire when you retire in 44 years. How much do you…

A: Present value is the value of investment of today in order to gain an amount at a future date.

Q: You want to be a millionaire when you retire in 35 years.    a. How much do you have to save…

A: Future Value is $1,000,000 Time Period is 35 Years Rate of return is 10.7%   To Find:- Monthly…

Q: Suppose DAVID wants to have P10,000,000 to retire 45 years from now, how much would she have to…

A: Amount needed at the retirement (X) = P 10000000 n = 45 years r = 15%

Q: You are planning to invest $1,000 in an account earning 12% per year for retirement. a. If you put…

A: Amount to be invested = $1000 Interest rate = 12%

Q: Assume your goal in life is to retire with one million dollars. How much would you need to save at…

A: To calculate the annual saving amount we will use future value of annuity formula as follows…

Q: Your father is about to retire, and he wants to buy an annuity that will provide him with $85,000 of…

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

Q: Thinking ahead to retirement, assume you will be able to earn a 10 percent return on your…

A: Here annuity formula  should be used

Q: At age 30, a man makes an investment that will grow to 2.5 million dollars once he turns 53. How…

A: We have the value of investment in future (at age 53), time period and interest rate, we are asked…

Q: 7. You have just made your first P2,000 contribution to your individual retirement account. Assuming…

A: 7) First contribution today (C) = P 2000 r = 10% n = 45 years

Q: Assume you currently have $220,000 that you are ready to invest for retirement. In addition, you…

A: Compounding is a technique which is used to find the FV of present amount by using appropriate…

Q: How much should you invest each month in order to have $700,000 if your rate of return is 6.9%…

A: Periodic Amount that need to be invested is calculated using the formula future value of annuity.…

Q: If you invest $10,000 today at 4% how much money will you have in ten years?

A: We need to calculate the future value from the following details: Present value (invest today) =…

Q: You have just made your first $4,000 contribution to your retirement account. Assume you earn a…

A: given, pv = $4000 r = 11%

Q: You are planning to retire in forty years. You will be spending $30,000 per year, starting at the…

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

Q: You are trying to save for retirement and want to have $500,000 (fv) when you turn 65 years old…

A: In order to find the periodic payment to be made at regular interval to reach the retirement goal,…

Q: 6. You decide you want to start investing for your retirement and you want to have $650,000. If you…

A: Time value of money is a concept that is used by companies to determine the present worth of money…

Q: If you invest $10,000 today at 4% how much money will you have in five years?

A: Details given are : Present value (invest today) = $10000 Interest rate = 4% Time period = 5 years…

Q: Today is your 21st birthday, and you are opening up an investment account. Your plan is to…

A: Using the future value function in excel

Q: An investor is 50 years of age today. He will retire at the age of 60. In order to receive Tk.…

A: Retirement planning is the planning for securing the future from uncertainties. This is to be done…

Q: How much should you invest each month in order to have $400,000 if your rate of return is 6.5%…

A: Future value of investment is 400,000. The rate of interest is 6.5%

Q: 21)Today is your 21st birthday, and you are opening up an investment account. Your plan is to…

A: Given information : Periodic payments = $2000 Interest rate = 10% Time period = 45 years

Q: You would like to retire with P1 million on your 60th birthday. If you start saving equal annual…

A: Amount required at retirement is P1,000,000 Interest rate is 10% Start date is 26th birthday End…

Q: You are planning to retire in 20 years, and your goal is to accumulate a sum of $1 million in your…

A: In this question we require to compute the money to be invested each year to have $1 million in 20…

Q: You want to accumulate $1,250,000 prior to retirement.  If you can earn 10% per yr. and have the…

A: RATE (10%/12) 0.833% TIME PERIOD (30 years * 12 months) 360 PRESENT VALUE $0 FUTURE VALUE…

Q: Suppose you are currently 18 years old, and you wish to retire at 58. You want to have $1,000,000…

A: The question gives the following information:

Q: payment

A: Introduction: The future value is the value of the investment which is expected to be received at…

Q: Next, let's assume Denise is now thirty-five years old and thus has thirty years for saving toward…

A: Individuals save for future needs by putting aside money in various financial instruments. The money…

Q: You want to be a millionaire when you retire in 40 years. a. How much do you have to save each month…

A: The investors of the company have evaluated different companies and select one of them. The selected…

Q: You will retire in 26 years and can afford to put away 11 % of your salary each year. You make…

A:

Q: 18. Calculating Future Values You have just made your first $5,000 contribution to your individual…

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

Q: You would like to retire in 50 years as a millionaire. If you have $1000 today, what rate of return…

A: Step1 It is the concept of the time value of money which depicts the future value of cash on the…

Q: How much should you invest each month in order to have $300,000 if your rate of return is 7.1%…

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

Q: You want to be a millionaire when you retire in 40 years. a. How much do you have to save each month…

A: given information time period = 40 * 12 = 480 interest rate = 10.5%

Q: fyou invest $10,000 on the last day of each year for ten years at 8% how much money will you have in…

A: In the given question we require to calculate the future value from following details: Investment at…

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: You want to retire in 25 years. You currently have $200,000 saved and you believe you need…

A: Given information: Time to retirement :  25 years Present value of savings : $200,000 Value at…

Q: You would like to retire in 50 years, as a millionaire. If you have $20 000 today what rate of…

A: Retirement Time = 50 years  Present Value of money = $20,000 Future Value of money = $1,000,000

Q: You expect to retire in 25 years. After you retire, you want to be able to withdraw $3000 dollars…

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

Q: You have a financial goal to reach: $1,000,000 when you retire. You are currently 20 years old and…

A: Given: Future value (FV) = $ 1000000 Number of periods (n) = 60-20 = 40 Return (r) = 0.15