Your retired client has accumulated investment and retirement assets totaling $9,150,000. Assume the client expects...
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Your retired client has accumulated investment and retirement assets totaling $9,150,000. Assume the client expects to live for another 23 years and that he assumes an annual inflation rate of 4.8 percent. To leave his heirs the future value of the $9,150,000 at the end of the 23 years, and maintain an inflation-adjusted lifestyle of $158,000 a year for all 23 years, the clients investments would have to earn an average of ______ percent a year for the entire 23 years.
THE ANSWER IS 6.61% However, I can't figure out the steps in the formulas. Please help break down the different formulas. Excel breakdowns are great but anything helps! Please and thank you!
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