You plan to work for 40 years and then retire using a 25-year annuity. You want to arrange a retirement income of $4000 per mont
h. You have access to an account that pays an APR of 6.0% compounded monthly. This requires a nest egg of $620,827.46.
What monthly deposits are required to achieve the desired monthly yield at retirement? (Round your answer to the nearest cent.)
What monthly deposits are required to achieve the desired monthly yield at retirement? (Round your answer to the nearest cent.)
1 answer:
Answer:
$311.74
Step-by-step explanation:
A financial calculator computes the payment amount to be $311.74.
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Your graphing calculator may have the capability to do this. Certainly, such calculators are available in spreadsheet programs and on the web.
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The appropriate formula is the one for the sum of terms of a geometric series.
Sn = a1·((1+r)^n -1)/(r) . . . . . where r is the monthly interest rate (0.005) and n is the number of payments (480). Filling in the given numbers, you have ...
$620827.46 = a1·(1.005^480 -1)/.005 = 1991.4907·a1
Then ...
$620827.46/1991.4907 = a1 ≈ $311.74
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1.The isosceles triangle has sides of length 14, y, y
2. According to the "triangle inequality" :
y+y>14
2y>14
y>14/2=7
(y is greater than 7)
3. Remark, check the figures:
the side lengths cannot be less than (neither equal to 7), because we cannot get a triangle in that case, check picture 2
In picture 1 wee see that the side lengths can be as large as we want. We can erect an altitude, as high as we want. Pick a point on the altitude, and join it to the endpoints of the base, and we get an isosceles triangle with base equal to 14.
2. According to the "triangle inequality" :
y+y>14
2y>14
y>14/2=7
(y is greater than 7)
3. Remark, check the figures:
the side lengths cannot be less than (neither equal to 7), because we cannot get a triangle in that case, check picture 2
In picture 1 wee see that the side lengths can be as large as we want. We can erect an altitude, as high as we want. Pick a point on the altitude, and join it to the endpoints of the base, and we get an isosceles triangle with base equal to 14.