Asked by Jennifer
Sam wants to start saving for retirement. She wants to have $85,000 per year for 25 years in retirement that will start in 40 years. How much must she deposit in equal annual amounts for the next 20 years if she can earn 9% over the life of her investment?
A) $4,325 B) $2,912 C) $16,319 D) $8,752
A) $4,325 B) $2,912 C) $16,319 D) $8,752
Answers
Answered by
Reiny
P(1.09^20 - 1)/.09 * 1.09^20 = 85000(1 - 1.09^-25)/.09
solve for P.
solve for P.
There are no AI answers yet. The ability to request AI answers is coming soon!
Submit Your Answer
We prioritize human answers over AI answers.
If you are human, and you can answer this question, please submit your answer.