Ruby is 25 and has a good job at a biotechnology company. She currently has...
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Ruby is 25 and has a good job at a biotechnology company. She currently has 510,800 in an IRA, an imporiant part of her retirement nest eg9. She believes hec IRA will grow at an annual rate of 8 percent, and she plans to leave it untouched until she retires at age 65 Ruby estimates that she wil need $875,000 in her fotal retirement nest egg by the time she is 65 in order to have retirement income of $20.000 a year (she expects that Social Security will pay her an additional 515,000 a yean) Using Exhibit 1.A, Exhicit i. B. Exhibit.1. Exlibit. 10, inswer the following questions 0. How much will Ruby's IRA bes worth when she needs to start withdrawing money from A when she retires? (Round discount foctor to 3 decimal places and final antwer to the nearest whole dollar.) b. How much money will she have to accumulate in her company's 401k plan over the next 40 years in order to reach her retiement. Ticcome goal? (Round discount factor to 3 decimal places and final answer to the nearest whole dollor)
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