John Adams Plans to Retire at the Age of 62

question 38

Multiple Choice

John Adams plans to retire at the age of 62.He wants an annual income of $60,000 per year.He believes that he will live to be 87.He will draw the money at the beginning of each year.How much money will he need when he retires in order to support his $60,000 annual life style if he will average 12 percent per year on his retirement account?

• A)$527,059
• B)$470,586
• C)$505,302
• D)$439,800

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Definitions:

Longitudinal Study

A research design that follows the same subjects over a period of time, allowing for the observation of changes or development.

Analogue

Something that is similar or comparable in function or effects to something else, though differing in nature or origin.

ABAB

A research design involving repeated measurements over time wherein a participant receives an intervention, returns to baseline, and then receives the intervention again.

Case

An instance or occurrence of a particular situation or example being investigated or examined.