Gary Kornig will be 30 years old next year and wants to retire when he is 65.
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Gary Kornig will be 30 years old next year and wants to retire when he is 65. So far he has saved
(1) $6,950 in an IRA account in which his money is earning 8.3 percent annually
(2) $5,000 in a money market account in which he is earning 5.25 percent annually
Gary wants to have $1 million when he retires. Starting next year, he plans to invest the same amount of money every year until he retires in a mutual fund in which he expects to earn 9 percent annually. How much will Gary have to invest every year to achieve his savings goal?
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Related Book For
Fundamentals of corporate finance
ISBN: 978-0470876442
2nd Edition
Authors: Robert Parrino, David S. Kidwell, Thomas W. Bates
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