1. You have just turned 23 years old. Having completed your Masters in Finance you have a good job that pays R500k per annum. If you plan on retiring at the age of 65 (42 years from now) with enough money to pay a constant R10million at the end of each year in perpetuity, what percentage of your income do you need to save each year? Assume the annual interest rate is 12% and that your salary will grow at 8% per annum until you retire.

A) 15.6% B) 8.4% C) 12.2% D) 7.3% E) 0.036%