Answered: Your RRSP savings of $52,500 are…

Your RRSP savings of $52,500 are converted to a RRIF at 4.22% compounded monthly that pays $5,372 at the beginning of every month. After how many payments will the fund be depleted?

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter5: The Time Value Of Money

Section: Chapter Questions

Problem 16P

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Question

Your RRSP savings of $52,500 are converted to a RRIF at 4.22% compounded monthly
that pays $5,372 at the beginning of every month. After how many payments will the
fund be depleted?
Round to the next payment
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Step 1: Definition of NPER

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Step 2: Calculation of NPER with use of Excel

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