Math Problem Statement
You plan to retire in 4 years with $791,020. You plan to withdraw $112,900 per year for 22 years. The expected return is X percent per year and the first regular withdrawal is expected in 5 years. What is X?
Solution
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Math Problem Analysis
Mathematical Concepts
Annuities
Time Value of Money
Discounting Cash Flows
Algebra
Formulas
Present value of annuity: PV = C × (1 - 1 / (1 + X)^n) ÷ X
Discount factor: 1 / (1 + X)^t
Theorems
Annuity Present Value Theorem
Time Value of Money Principle
Suitable Grade Level
College Level or Advanced High School (Grades 11-12)
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