Question: can you please help me understand this question? You would like to retire in 40 years and withdraw $75,000 per month for 25 years afterward.

can you please help me understand this question?

  • You would like to retire in 40 years and withdraw $75,000 per month for 25 years afterward. You plan to invest $1,200 per month until retiring. If you expect to earn 6% after retiring, what annual rate will you need to earn until retiring to reach your goal?
  • A.11.89%
  • B.13.90%
  • C.8.77%
  • D.11.39%

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