You would like to retire in 50 years, as a millionaire. If you have $20 000 today what rate of return do you need to earn to achieve your goal?

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: 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: suppose you want to make sure you have 2,000,000 when you retire in 35 years. what even annual…

A: We need to use future value of ordinary annuity formula to calculate the annual payment. The formula…

Q: You are 20 years old and decide to start saving for your retirement. You plan to save $5,500 at the…

A: Question is based on the concept of Annuity

Q: Evan would like to have $2,000,000 saved by the time he retires in 40 years. How much does he need…

A: Given details are : Future value of savings = $2000000 Time period = 40 years Interest rate = 110%…

Q: You want to be a millionaire when you retire in 40 years and can earn an annual return of 12.5…

A: Calculate the monthly deposit as follows: Monthly deposit today = (Amount * rate)/…

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: Candice Willis will invest $30, 000 today. She needs $150, 000 in 21 years. What annual interest…

A: Following details are given in the question: Investment today (Present Value) = $30000 Value of…

Q: You and your wife are making plans for retirement. you Olán on living 25 years after you retire and…

A: Annual amount required = 100000 years to live =25 years Number of years to withdraw(n) = 25-1 =  24…

Q: If you make annual payments into a retirement plan during your working life, how much will you need…

A: Find the present value of the annuity for retirement funds at t=25. (PV Function) The above amount…

Q: You are 20 years old and decide to start saving for your retirement. You plan to save $6,000 at the…

A: Here we will use the concepts and formulas of annuity. Annuity is a periodic amount of money being…

Q: Your uncle is about to retire, and he wants to buy an annuity that will provide him with $73,000 of…

A: The provided information are: Particular Value RATE 5.25% YEARS 19 PMT (MONTHLY PAYMENT)…

Q: You believe you will need to have saved $500,000 by the time you retire in 40 years in order to live…

A: Ordinary annuity is the payments made at the end of the period.

Q: You want to be a millionaire when you retire in 45 years. How much do you have to save each month if…

A: The payments discussed here are a form of annuities where an equal amount is paid every period.

Q: what rate of return must you earn on that savings to hit your goal

A: Time value of money (TVM) means that the amount of money received in the present period will have…

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: Ronald has an investment opportunity that promises to pay him $55,000 in three years. He could earn…

A: Present value = Future value * Present value of $1 table factor

Q: You just turned 23 years old and want to retire when you turn 65. You expect to live for 25 years…

A: Current Age = 23 Retrement Age = 65 Total Difference(n2) = 65-23 = 42 years Expected to live(n1) =…

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: As part of your financial planning and to supplement your retirement, you decided to save $3000 at…

A: Future value is the expected value of the current amount at a future date at a given specific rate…

Q: Suppose you wish to retire 30 years from today .You have determined that you would need $75,000…

A: The question is to find the present value of expected cash flow made at regular intervals. The…

Q: You plan on retiring in 30 years. You currently have $200,000 and think you will need $1,000,000 to…

A: In the given problem we require to calculate the annual return that will make $200000 to $1000000 in…

Q: Ian would like to save $1,500,000 by the time he retires in 40 years. If he believes that he can…

A: Amount required after 40 years = $ 15,00,000 Interest Rate(r) = 7% Years(n) = 40 Annual Deposit…

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: Dan would like to save $2,000,000 by the time he retires in 40 years and believes he can earn an…

A: The present value of the investment is the current value of the sum of a future stream of cash flows…

Q: • You plan to retire in 30 years. • In 50 years, you want to give your daughter a $500,000 gift. •…

A: First we'll calculate the Present Value of total amount required to be accumulated in 30 years (i.e.…

Q: Your parents will retire in 29 years. They currently have $240,000 saved, and they think they will…

A: Number of years to retirement is 29.  The amount saved is $240,000 The amount required in 29 years…

Q: save

A: Introduction: The amount to be deposited every year is nothing but the present value which is…

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: You want to have an income of $50,000 per year in retirement, and you think you will be alive for 30…

A: The Amount that to  have in the account on the day of retirement will be equal to the present value…

Q: You are going to retire in 40 years and currently have $100,000. What average annual return would…

A: Future Value = Present Value * (1+r)^nWhere,r = rate of interest per periodn = no. of compounding…

Q: You have just retired with savings of $5 million. If you expect to live for 49 years and to earn 12%…

A: Present value = Annuity * PVAF ( Rate, Years )

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: Carlo Aldric wants to have P40,000 per year for 15 years during his retirement. What amount would…

A: Annual amount (P) = 40,000 Interest rate (r) = 5% Period (n) = 15  Years

Q: You are planning for your retirement. You expect to earn a monthly salary of $7,000 starting on the…

A: Computation:

Q: You are 25 years old and decide to start saving for your retirement. You plan to save $4,000 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 would like to retire in 50 years, as a millionaire. If you have $20 000 today what rate of…

A: We need to calculate the rate of return needed on $20,000 investment to make it $1,000,000…

Q: B. He has decided he wants to save $1,000,000 before he retires. If he saves for 30 years, earning…

A: Future value (FV) = $1,000,000 Interest rate = 6% Monthly interest rate (r) = 6%/12 = 0.50% Period =…

Q: You are planning for your retirement. You expect to earn a monthly salary of $7,000 starting on the…

A: Annuity refers to series of equalized payments that are either made at start or end of specific…

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

Q: how much money will he have at retirement if his account expense ratio is: 0.50% =$???????????? or…

A: Time value of money (TVM) is used to measure the value of money at different point of time in the…