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You retire at age 60 and expect to live another 23 years. On the day you...

You retire at age 60 and expect to live another 23 years. On the day you retire, you have $568,900 in your retirement savings account. You are conservative and expect to earn 5.2% on your money during your retirement. How much can you withdraw from your retirement savings each month if you plan to die on the day you spend your last penny?

i. Write down the discounted cash flow equation.

ii. Solve the equation to find the monthly withdrawal amount.

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