Danny has decided to retire once he has $1,500,000 in his retirement account. At the end of each year, he will contribute $8,000 to the account, which is expected to provide an annual return of 8.0%. How many years will it take until he can retire? 36 years 32 years 40 years 42 years 41 years Suppose Danny’s friend, Hugh, has the same retirement plan, saving $8,000 at the end of each year and retiring once he hits $1,500,000. However, Hugh’s account is expected to provide an annual return of 10.7%. How much sooner can Hugh retire? 5 years 6 years 8 years 4 years 7 years After 25 years, neither Danny nor Hugh will have enough money to retire, but how much more will Hugh’s account be worth at this time? $139,984 $289,671 $162,869 $130,073 $186,514 Danny is jealous of Hugh because Hugh is scheduled to retire before him, so Danny decides to make whatever end-of-year contribution is necessary to reach the $1,500,000 goal at the same time as Hugh. If Danny continues to earn 8.0% annual interest, what annual contributions must he make in order to retire at the same time as Hugh? $8,408 $13,361 $11,695 $8,789 $13,241