What must minimum yearly savings

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Sam wants to save money to meet two objectives.  First, he would like to buy a fishing boat 5 years from today at an estimated cost of $15,000.  Second, he would like to retire 20 years from now and have a retirement income of $50,000 per year for at least 20 years.  Sam can afford to save only $10,000 per year for the first 10 years. He expects to earn 8% per year on average from his savings over the next 40 years.  What must his minimum yearly savings be for the second 10 years to meet his objectives?

Reference no: EM132398448

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