This paper circulates around the core theme of ACCOUNTING 1- John is planning for his retirement together with its essential aspects. It has been reviewed and purchased by the majority of students thus, this paper is rated 4.8 out of 5 points by the students. In addition to this, the price of this paper commences from £ 99. To get this paper written from the scratch, order this assignment now. 100% confidential, 100% plagiarism-free.
John is planning for his retirement. He is in his mid thirties, and has an annual income of $120,000 before taxes.Years till retirement : 30 yearsEstimated years in retirement : 27 yearsHousehold expenditure : $84,000.% of household needed in retirement: 80%Estimated annual end of year income in retirement from securities $53,000Securities are based on current dollars and It is expected to increase with the expected inflation until retirement.Expected annual inflation rate until retirement : 5%Expected annual inflation rate during retirement: 4%Expected annual rate of return on investments before retirement: 8%Expected annual rate of return on investments during retirement: 10%Calculate the annual end of year savings required for investment during the period until retirement.