BUS 3401 FIT Finance for managers Discussion

I need someone to check my work it will not take 5 minutes. My answer is :Discussion 2To calculate the monthly savings required to build a portfolio of $500,000, we first need to determine the number of years until retirement. Let’s assume that retirement is 30 years away.Using the compound interest formula, we can calculate the monthly savings required as follows:PV = 0 (starting with zero savings)FV = $500,000r = 6%/12 = 0.005 (monthly interest rate)n = 30*12 = 360 (number of monthly contributions)Monthly savings = (FV / ((1+r)^n – 1)) / (1+r)= ($500,000 / ((1+0.005)^360 – 1)) / (1+0.005)= $563.91Therefore, to build a portfolio of $500,000 in 30 years, you would need to save approximately $563.91 per month.If you could earn 9 percent a year and wanted to save $750,000, we can use the same formula as above with the following adjustments:FV = $750,000r = 9%/12 = 0.0075 (monthly interest rate)Monthly savings = (FV / ((1+r)^n – 1)) / (1+r)= ($750,000 / ((1+0.0075)^360 – 1)) / (1+0.0075)= $1,717.59Therefore, to build a portfolio of $750,000 in 30 years, you would need to save approximately $1,717.59 per month.