Ralph has nothing in his retirement account. However, he plans to save $8,300.00 per year in his retirement account for each of the next 13 years. His first contribution to his retirement account is expected in 1 year. Ralph expects to earn 7.80 percent per year in his retirement account. Ralph plans to retire in 13 years, immediately after making his last $8,300.00 contribution to his retirement account. In retirement, Ralph plans to withdraw $41,000.00 per year for as long as he can. How many payments of $41,000.00 can Ralph expect to receive in retirement.

If he receives annual payments of $41,000.00 in retirement and his first retirement payment is received exactly 1 year after he retires?

Answer rating: 100% (QA)

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