Accounting

Mr. jones intends to retire in 20 years at the age of 65. As yet he has not provided for retirement income, and he wants to set up a perodic savings plan to do this. If he makes equal annual payments into a savings account that pays 4 percent interest per year, how large must this payments be to ensure that after retirement he will be able to draw $30,000 per year from their account until he is 80?

  1. 👍 0
  2. 👎 0
  3. 👁 118
asked by Mike

Respond to this Question

First Name

Your Response

Similar Questions

  1. Business

    Mr Jones intends to retire in 20 years at the age of 65. As yet he has not provided for retirement income, and he wants to set up a periodic savings plan to do this. If he makes equal annual payments into savings account that pays

    asked by David on December 23, 2009
  2. accounting

    Mr. Jones intends to retire in 20 years at the age of 65. As yet he has not provided for retirement income, and he wants to set up a periodic savings plan to do this. If he makes equal annual payments into a savings account that

    asked by matt on June 10, 2009
  3. Retirement

    1. I would like to retire in 42 years at the age of 65. The average retirement age for women is between 60-62 years of age, and 62-64 for men. 2. My annual amount of money I'll need after retiring would be approxiamately $26,500

    asked by Davoni on May 6, 2013
  4. Math

    Burton Bush wants to retire in Arizona when he is 80 years of age. Burton, who is now 55, believes he will need $400,000 to retire comfortably. To date, he has set aside no retirement money. If he gets an interest rate of 6%

    asked by Deemesha on June 7, 2018
  5. Finance

    You are now 30 years old. You plan to retire in 30 years, and expect to live for 30 years after retirement, that is, until you are 90. You want a fixed retirement income that has the same purchasing power at the time you retire as

    asked by Anonymous on February 4, 2010
  6. math

    Suppose you are 30 years old and would like to retire at age 60. ​Furthermore, you would like to have a retirement fund from which you can draw an income of ​$75, 000 per year-forever! How much would you need to deposit each

    asked by Boop on April 22, 2019
  7. business

    29. Ray Long wants to retire in Arizona when he is 75 years of age. Ray, who is now 60, believes he will nee $200,000 to retire comfortably. To date, he has set aside no retirement money. If he gets an interest of 12 percent

    asked by Anonymous on September 11, 2012
  8. business math

    Ray Long wants to retire in Arizona when he is 70 years of age. Ray is now 50. He believes he will need $130,000 to retire comfortably. To date, Ray has set aside no retirement money. Assume Ray gets 14% interest compounded

    asked by no name on September 1, 2012
  9. business and finance

    Ray Long wants to retire in Arizona when he is 70 years of age. Ray is now 50. He believes he will need $130,000 to retire comfortably. To date, Ray has set aside no retirement money. Assume Ray gets 14% interest compounded

    asked by maria on August 13, 2012
  10. math

    A company requires the amount of $645,000 in 15 years to retire a bond issue. Assume they can earn 4 1/2 % interest compounded daily. What amount would they have to pay quarterly to be able to retire this debt in 15 years?

    asked by meme on December 12, 2010

More Similar Questions