Question 1

Gradys annual need in todays dollars is $____

round to the nearest dollar

#2 using the table Grady thinks he might have an average tax rate of 13 percent at retirement if he is married. Adjusting for taxes how much does Grady really need per year in todays dollars

#3 Adjusting for inflation how much does Grady need per year in future dollars when he begins retirement in 40 years

#4 If he needs this amount for 20 years how much does he need in total for retirement

#5 How much does grady need to save per month to reach his retirement goal assuming he does not receive any employer match on his retirement savings

Grady Zebrowski, age 25.just graduated from college, accepted his first job with a $50.000 salary, and is already looking forward to retirement in 40 years. Ho assumes a percent inflation rate and plans to live in retirement for 20 years. He does not want to plan on any Social Secunty benefits. Assume Grady can earn a 7 percent rate of retur on his investments prior to retirement and a 5 percent rate of return on his investments postretirement to answer the following questions using your financial calculator a. Grady wants to replace 90 percent of his current net income What is his annual need in today's dollars? b. Using the table 2. Grady thinks he might have an average tax rate of 13 percent at retirement if he is married. Adjusting for taxes, how much does Grady really need year, in today's dollars? c. Adiustina for inflation how much does Grady need per voar in future dollars when he begins vatirement in 40 years? a. Grady's annual need in today's dollars is $ (Round to the nearest dollar) a table Couples Flling Jointly Individuals Retirement Income $20,000 30,000 7% 10% 10 14 40,000 17 12 14 50,000 20 17 22 60 000 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% n = 20 18.0456 17.8651 17.6873 17.5120 17.3391 17.1686 17.0006 n = 40 32.8347 32.2195 31.6205 31.0372 30.4692 29.9158 29:3768 Grady Zebrowski, age 25.just graduated from college, accepted his first job with a $50.000 salary, and is already looking forward to retirement in 40 years. Ho assumes a percent inflation rate and plans to live in retirement for 20 years. He does not want to plan on any Social Secunty benefits. Assume Grady can earn a 7 percent rate of retur on his investments prior to retirement and a 5 percent rate of return on his investments postretirement to answer the following questions using your financial calculator a. Grady wants to replace 90 percent of his current net income What is his annual need in today's dollars? b. Using the table 2. Grady thinks he might have an average tax rate of 13 percent at retirement if he is married. Adjusting for taxes, how much does Grady really need year, in today's dollars? c. Adiustina for inflation how much does Grady need per voar in future dollars when he begins vatirement in 40 years? a. Grady's annual need in today's dollars is $ (Round to the nearest dollar) a table Couples Flling Jointly Individuals Retirement Income $20,000 30,000 7% 10% 10 14 40,000 17 12 14 50,000 20 17 22 60 000 1.00% 1.10% 1.20% 1.30% 1.40% 1.50% 1.60% n = 20 18.0456 17.8651 17.6873 17.5120 17.3391 17.1686 17.0006 n = 40 32.8347 32.2195 31.6205 31.0372 30.4692 29.9158 29:3768