1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Arisa [49]
3 years ago
11

Ruby is 25 and has a good job at a biotechnology company. She currently has $11,400 in an IRA, an important part of her retireme

nt nest egg. She believes her IRA will grow at an annual rate of 9 percent, and she plans to leave it untouched until she retires at age 65. Ruby estimates that she will need $875,000 in her total retirement nest egg by the time she is 65 in order to have retirement income of $20,000 a year (she expects that Social Security will pay her an additional $15,000 a year).How much will Ruby's IRA be worth when she needs to start withdrawing money from it when she retires?
Business
1 answer:
Advocard [28]3 years ago
5 0

Answer:

$ 358,063

Explanation:

Calculation for the amount that Ruby's IRA will be worth when she needs to start withdrawing money from it when she retires.

Ruby's IRA worth when she retires at age of 65

First step

Using this formula to find how many years until Ruby retires

Time period= Retired age (-) current age

Let plug in the formula

65-25=40 years

Second step is to find the future value of IRA when she retires

Using this formula

Future value of IRA when she retires

= Present value(1+r)t

Let plug in the formula

$ 11,400 (1+0.09) ^40

=$11,400 (1.09) ^40

=$ 11,400 (31.409)

= $ 358,063

Therefore the amout that Ruby's IRA will be worth when she needs to start withdrawing money from it when she retires will be $358,063

You might be interested in
What is the IRR of the following set of cash flows? (Do not round intermediate calculations. Enter your answer as a percent roun
MrRissso [65]

Answer: 14.59%

Explanation:

The Internal Rate of Return(IRR) is the discount rate that brings the Net Present Value to zero. It is used to decide the viability of projects. The project is generally considered viable if the Cost of capital is less than the IRR.

You can use Excel to calculate the IRR;

= IRR(-15,800,6,500,7,800,6,300)

From the picture attached you can see that the IRR is 14.59%

3 0
3 years ago
Acme company has just completed the incorporation process and received its articles of incorporation from the state. at the firs
lana66690 [7]
The answer is adopting bylaws. In addition, unlike the articles of incorporation the bylaws are not public records and classically do not have to be gather in a line with any governmental unit. The bylaws will be accepted by the directors of the corporation at their first board meeting or accepted by the deed of incorporator and then accepted at the first board conference.
6 0
3 years ago
It's illegal to convey false or misleading information about nutrition in magazine and newspaper articles and on television
wolverine [178]
It's actually FALSE.
4 0
3 years ago
What are products called that are special or different from those grown as commodities?
dybincka [34]

Answer:

unique prroducts

Explanation:

A product is a commodity when all units of production are identical, regardless of who produces them. However, to be a differentiated product, a company's product is different than those of its competitors. On the continuum between commodities and differentiated products are many degrees and combinations of the two.

6 0
3 years ago
As described in your text, Brown and Finn (1982) found that attitudes regarding alcohol were somewhat different for 12-year-olds
Leno4ka [110]

Answer:

Option "A" is the correct answer to the following statement.

Explanation:

Cross-sectional observational estimates are based on findings with Various data that exist in various groups in the same period. This indicates that there was no other procedure wad made, so no factors are influenced by the analyst.

In this situation, there were various age groups involved in the Experiment at the same time.

8 0
3 years ago
Other questions:
  • The use of mathematical tools such as the application of linear programming for optimizing operations and the statistical proces
    9·1 answer
  • If the number of dollars needed to buy a representative basket of goods falls, the price level
    15·1 answer
  • Opportunity cost refers to _________.a. current economic conditions. b. your personal values.c. trade-offs when a decision is ma
    12·1 answer
  • The acid-test (quick) ratio A. relates cash, short-term investments, and net receivables to current liabilities. B. is calculate
    11·1 answer
  • A nondurable good is defined as a(n)
    6·1 answer
  • 1. Cash balance per bank, July 31, $7,428.
    14·1 answer
  • A multi-location flower shop receives payment from customers in person, over the Internet, and through the mail. When checks com
    15·1 answer
  • Which leadership style best describes this Spider-Man? Why?
    5·1 answer
  • In supporting their local economic base, cities may at times incur expenses from doing business with entities located outside of
    15·1 answer
  • A developer of a new planned unit development (PUD) has gathered the following market information for University City. The devel
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!