Question: Use excel Mr . Van Trapp is 3 5 years old today and has begun to plan for his retirement. He wants to set aside
Use excel
Mr Van Trapp is years old today and has begun to plan for his retirement. He wants to set aside an equal amount at the end of each month in the next years so that he can retire at age He expects to live to a maximum age of and wants to be able to get an aftertax payment of $ per month from his account after retirement. His retirement account is expected to earn per annum with monthly compounding for the entire period of time. He has $ in his savings account now, and also hopes to have $ left at the end of age
Suppose Mr Van Trapp's company will deposit $ into his retirement account each month as well.
A What is the pretax payment per month that Mr Van Trapp needs after retirement, assuming a tax rate of
B What is the amount of funds needed by Mr Van Trapp at the end of age so that he will be able to get an aftertax payment of $ per month after retirement, and have $ left at the end of age
C What is the amount of the monthly deposits that must be made by Mr Van Trapp before he retires?
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