To the nearest dollar, how much must he save during each year for the next 10 years, with a deposit made at the end of each year to meet his retirement goal?

To the nearest dollar, how much must he save during each year for the next 10 years, with a deposit made at the end of each year to meet his retirement goal?

John Adams is the CEO of a nursing home. His is 50 years old now and plans to retire in 10 yrs. Plans to live 25 yrs after he retires to age 85. He wants a fixed retirement income that has the same purchasing power at the time he retires as $40,000 has today. His retirement income will begin the day he retires in 10 years and he will receive 24 additional annual payments. Inflation is expected to be 5% per yr for 10 years. He currently has $100,000 saved and he is expected to earn a return on his savings of 8% per year, annual compound. To the nearest dollar, how much must he save during each year for the next 10 years, with a deposit made at the end of each year to meet his retirement goal?