Austin Miller wishes to have $500,000 in a retirement fund 30 years from now. He can create
Question:
Austin Miller wishes to have $500,000 in a retirement fund 30 years from now. He can create the retirement fund by making a single lump-sum deposit today. Use next table to solve the following problems. If upon retirement in 30 years, Austin plans to invest $500,000 in a fund that earns 7%, what is the maximum annual withdrawal he can make over the following 25 years? Round the answer to the nearest cent. Round PVA-factor to three decimal places. Calculate your answer based on the PVA-factor. $ Calculate your answer based on the financial calculator. $ How much would Austin need to have on deposit at retirement in order to withdraw $55,000 annually over the 25 years if the retirement fund earns 7%? Round the answer to the nearest cent. Round PVA-factor to three decimal places. Calculate your answer based on the PVA-factor. $ Calculate your answer based on the financial calculator. $ To achieve his annual withdrawal goal of $55,000 calculated in part b, how much more than the amount calculated in part a must Austin deposit today in an investment earning 7% annual interest? Round PVA-factor to three decimal places. Round your answer to the nearest cent. If an amount is zero, enter "0". $
Auditing and Assurance Services
ISBN: 978-0077862343
6th edition
Authors: Timothy Louwers, Robert Ramsay, David Sinason, Jerry Straws