Need to invest to produce the desired cash flow

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Reference no: EM131306451

Anna Kashfi (from above) is retiring at the end of next year. She would like to make sure she receives payments of $10,000 a year forever, starting when she retires, but now she would like these payments to grow by 1.5 percent each year. If she can earn 6.5 percent annually, how much does Anna need to invest to produce the desired cash flow?

Reference no: EM131306451

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Need to invest to produce the desired cash flow : Anna Kashfi (from above) is retiring at the end of next year. She would like to make sure she receives payments of $10,000 a year forever, starting when she retires, but now she would like these payments to grow by 1.5 percent each year. If she can e..

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