Tina age 50 is an accountant. she earns 50000 a year. after, Ask an Expert

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Tina, age 50 is an accountant. She earns $50,000 a year. After consulting with you, she concludes that she can live on 70% of her current salary if she were to retire today. You anticipate that she will earn $12,000 in Social Security benefits (in today's dollars), and that inflation will average 3% a year. You are also confident that you can help her earn a 9% after tax rate of return on her investments. Assume that she will live 35 years in retirement.

find out the future value of her income need when she retires at age 65.

A. $59,203
B. $50,000
C. $38,987
D. $35,833
E. $23,000

How much, in terms of a pool of assets, does Tina need on her first day of retirement?

A. $674,369
B. $561,240
C. $522,185
D. $451,420

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M924657

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