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My pension plan is an annuity with a guaranteed return of 5% per year. (Assume compounding...

  1. My pension plan is an annuity with a guaranteed return of 5% per year. (Assume compounding at same intervals as withdrawals or deposits)

    a) How much will I need in my account at retirement if I wish to be paid $12000 per quarter for 25 years?



b) If I plan to work for 45 years before retiring, how much money would I need to deposit into my retirement account monthly to save the amount necessary for the payments in part a. (assume the same 5% rate)

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