SOLUTION: This does not have anything to do with algebra but it is driving me nuts trying to figure out the solution. I even used a TVM calculator and still got it wrong. You plan to wor

Algebra ->  Distributive-associative-commutative-properties -> SOLUTION: This does not have anything to do with algebra but it is driving me nuts trying to figure out the solution. I even used a TVM calculator and still got it wrong. You plan to wor      Log On


   

Question 1139406: This does not have anything to do with algebra but it is driving me nuts trying to figure out the solution. I even used a TVM calculator and still got it wrong.
You plan to work for 40 years and then retire using a 25-year annuity. You want to arrange a retirement income of $4400 per month. You have access to an account that pays an APR of 7.2% compounded monthly.
What size nest egg do you need to achieve the desired monthly yield?
Answer by ikleyn(52894) About Me  (Show Source):
You can put this solution on YOUR website!
.

You make a  BIG  MISTAKE  by stating and thinking that  "This does not have anything to do with algebra".

Actually  (and on the contrary),  the solution of this problem is  ENTIRELY  based on  Algebra,

and all computer/calculator programs,  codes and applications to solve such problems are  ENTIRELY  based on Algebra.

See the lessons
    - Ordinary Annuity saving plans and geometric progressions
    - Annuity Due saving plans and geometric progressions
    - Solved problems on Ordinary Annuity saving plans
    - Withdrawing a certain amount of money periodically from a compounded saving account
    - Miscellaneous problems on retirement plans
in this site.