document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1181793>Question 1181793</A>: <I><SPAN STYLE=\"word-break: break-all;\"> You want to be able to withdraw $40,000 from your account each year for 30 years after you retire. You expect to retire in 25 years. If your account earns 6% interest, how much will you need to deposit each year until retirement to achieve your retirement goals? </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #811730 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=811730\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> my analysis shows that you will need to have 583,628.84 in the account at the beginning of the retirement period.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "this will allow you to withdraw 40,000 at the beginning of each year for the next 30 years.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "in order to do that, you will need to invest 15,865.69 at the end of each year for the next 25 years.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "i used the financial calculator at <a  rel=nofollow HREF= \"\" target = \"_blank\"></a> for the financial analyisis.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "i used excel to show the year by year transactions.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the results are shown below.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2021/061201.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2021/061202.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2021/061203.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2021/061204.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "<IMG STYLE=\"max-width:80%;\" src = \"http://theo.x10hosting.com/2021/061205.jpg\">\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "in the first analysis using the financial calculator, inputs are everything except present value.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "output is present value.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "in the second analysis using the financial calcjulator, inputs are everything except payment amount.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "output is payment amount.\r<BR>\n" );
document.write( "<BR>\n" );
document.write( "\n" );
document.write( "the present value from the first analysis becomes the future value for the second analysis.<BR>\n" );
document.write( " </SPAN>\n" );
document.write( "</TD></TR></TABLE>\n" );