![randlemccray6338](/avatars/22739.jpg)
randlemccray6338
17.09.2021 •
Business
Steve and Ed are cousins who were both born on the same day, and both turned 25 today. Their grandfather began putting $3,200 per year into a trust fund for Steve on his 20th birthday, and he just made a 6th payment into the fund. The grandfather (on his estate trustee) will make 40 more $3,200 payments until a 46th and final payment is made on Steve's 65th birthday. The grandfather set things up this way because he wants Steve to work, not be a "trust fund baby," but he also wants to ensure that Steve is provided for in his old age. Until now, the grandfather has been disappointed with Ed, hence has not given him anything. However, they recently reconciled, and the grandfather decided to make an equivalent provision for Ed. He will make the first payment to a trust for Ed today, and he has instructed his trustee to make 40 additional equal annual payments until Ed turns 65, when the 41st and final payment will be made. If both trusts earn an annual return of 8%, how much must the grandfather put into Ed's trust today and each subsequent year to enable him to have the same retirement nest egg as Steve after the last payment is made on their 65th birthday
Solved
Show answers
More tips
- S Style and Beauty How to Make Your Lips Fuller? Ideas and Tips for Beautiful Lips...
- C Computers and Internet How to Learn to Type Fast?...
- A Art and Culture Who Said The Less We Love a Woman, the More She Likes Us ?...
- F Family and Home Parents or Environment: Who Has the Most Influence on a Child s Upbringing?...
- H Health and Medicine Is it true that working with a computer is harmful to your eyesight?...
- H Health and Medicine Boosting Immunity: A Complete Guide on How to Improve Your Body’s Natural Defenses...
- P Philosophy Unidentified Flying Object - What is the Nature of this Phenomenon?...
- C Computers and Internet How to Teach Older Generations to Work with Computers?...
- G Goods and services How to Choose a Coffee Maker? The Ultimate Guide for Coffee Lovers...
- C Computers and Internet Porn Banner: What It Is and How to Get Rid Of It?...
Answers on questions: Business
- B Business No 1 college in Pakistan??...
- B Business If you were given an opportunity to frame rules and regulations to sustain economic development and protect environment, what could be some of the new policy measures you would...
- B Business Austin Limited is trying to determine the value of its Austin Limited is trying to determine the value of its ending inventory as of February 28, 2014, the company’s year-end....
- B Business 2. There is no way to resolve the conflict between commercial business goals and those of social innovation. True or False? a. True b. False...
- B Business Give the origin of mixed economies...
- B Business A heavy construction firm has been awarded a contract to build a large concrete dam. It is expected that a total of 8 years will be required to complete the work. The firm...
- B Business Interview a business owner in your local community on the negative impact of crime on her business...
- M Mathematics Which of the following statements uses the multiplicative identity? (-8)(1) = -8-8 + 0 = -8(-8)(-1) = (-1)(-8)-8 + 1 = 1 + (-8)answer quick plz plz plz...
- M Mathematics Abigail is 5 years older than Brenda. Brenda is twice as old as Carly. The total of their ages is less than 40. What is Abigail’s greatest possible age? Give your answer as...
- M Mathematics Can someone pls pls help meeee...
Ответ:
sure
Explanation:
3+3=6 hope this helps