Question: I HAVE THE ANSWER I JUST NEED HELP WITH EXPLANATION You want to retire in 45 years and have $1,500,000 available at that time; assuming

I HAVE THE ANSWER I JUST NEED HELP WITH EXPLANATION

I HAVE THE ANSWER I JUST NEED HELP WITH EXPLANATION You want

You want to retire in 45 years and have $1,500,000 available at that time; assuming your retirement fund returns 8 percent, how much do you need to deposit each year to reach your goal? Use time value of money factors with at least four decimal places and then round your final answer to the nearest whole dollar. 3,881 (with margin: 0) Since you'll be making deposits EACH year, an annuity is involved; furthermore, that annuity relates to an event that has not yet happened (i.e. your retirement), so the calculation will involve a future value of an annuity. In this case, you know the "result" of the annuity (i.e. \$1,500,000) so you can divide that amount by the FVa factor to calculate the annuity amount (i.e. the amount that must be deposited each year)

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