Question: HW21: Problem 4 Previous Problem Problem List Next Problem (1 point) Suppose that for retirement purposes, over the course of 19 years, you make monthly
HW21: Problem 4 Previous Problem Problem List Next Problem (1 point) Suppose that for retirement purposes, over the course of 19 years, you make monthly deposits of $430,00 into an ordinary annuity that pays an annual interest rate of 5.211% compounded monthly. After those 19 years, you then want to make monthly withdrawals for 23 years, reducing the balance in the account to zero dollars. a) Find the amount of money you have accumulated in the annuity over the first 19 years: b) How much should you withdrawing monthly from your account so that the balance reaches zero dollars after the final 23 years? (Note: Your answers should have a dollar sign and be accurate to two decimal places)
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
