Use the payout annuity formula given below:
[tex]P_0=\frac{d(1-(1+\frac{r}{k})^{-NK})}{(\frac{r}{k})}[/tex]
Here P0 is the account balance , here P0=$350000.
r is the rate here r=0.0485.
k is the number of compounding periods in a year.
One year has approximately 52 weeks so k=52.
N is the number of years here N=27.
d is the periodic withdrawl which needs to be calculated.
Substitute all values in the formula to get:
[tex]\begin{gathered} 350000=\frac{d(1-(1+\frac{0.0485}{52})^{-27\times52})}{\frac{0.0485}{52}} \\ 350000=d(782.5519625) \\ d=\frac{350000}{782.5519625} \\ d=447.2546448\approx447.25 \end{gathered}[/tex]
So weekly withdrawl is $447.2546448 can be approximated to $447.25 to be safe.
