4. Savings Amount Needed. Christine and Nathan Riley, of Coon Rapids, Minnesota, desire an annual retirement income of $40,000. They expect to live for 30 years past retirement. Assuming that the couple could earn a 3 percent after-tax and after-infl ation rate of return on their investments, what amount of accumulated savings and investments would they need? Use Appendix A.4 or the Garman/Forgue companion website to solve for the answer.