Suppose an employee starts working after completing her mba


Suppose an employee starts working after completing her MBA at age 30 at a starting salary of $50,000. She expects an annual salary increase to be at minimum 1%, at maximum 5%, with a uniform distribution. Her retirement plan requires that she contribute 8% of her salary, and her employer matches that by adding an additional 35% of her contribution. She anticipates an annual return on her retirement portfolio (i.e., return on investment) to be a normal distribution with a mean of 4% and standard deviation of 3.5%. She plans to retire at age 60. Create a spreadsheet model to forecast her average return on investment (i.e., retirement account balance) when she retires at age 60 based on 5,000 simulation trials

Request for Solution File

Ask an Expert for Answer!!
Financial Accounting: Suppose an employee starts working after completing her mba
Reference No:- TGS01227557

Expected delivery within 24 Hours