Portfolio return-rate assumption-investment portfolio

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You are told that you will need to accumulate $1,400,000 by day one of retirement in order to achieve your desired standard of living. How much will you need to contribute at the end of each year to accumulate that sum given the following information: 25 years until retirement, current investment portfolio is worth $75,000, and the portfolio return-rate assumption is 8.5%?

a. $10,467.98

b. $25,124.73

c. $16,842.98

d. $5,854.33

Reference no: EM13814563

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