Homework help needed

Accounting
Tutor: None Selected Time limit: 1 Day

You plan to retire at age 65. You want to withdraw $100,000 from your savings account every year starting on your 65th Birthday. You expect to make your final withdrawl on your 84th birthday. How much must you have accumulated by your 65th birthday in order to support your desired withdrawls if you earn 3% interest on your savings?

Jun 23rd, 2015

Thank you for the opportunity to help you with your question!

from age 65 to 84, it will be a duration of 20 years. total withdrawal= $100000*20=$2,000,000

Let the amount to accumulate be X, then X+0.03X=$2,000,000

1.03X=$2,000,000

X= $ 1,941,747.6

Please let me know if you need any clarification. I'm always happy to answer your questions.
Jun 23rd, 2015

This answer is not one of the mutiple choice answers given

Jun 23rd, 2015

is there any other instruction such as rounding off? could you please send the multiple choices?

Jun 23rd, 2015

1,532,379.91/ 1,587,747.49/1,475,351.31/1,090,095.56/1,432,379.91

Jun 23rd, 2015

I cant get the answer in the multiple choices. The answer i get is still $1941747.573. Please check the interest rate again

Jun 23rd, 2015

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Jun 23rd, 2015
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Jun 23rd, 2015
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