10) You are a personal financial advisor helping you client (Linda, age 30) save for retirement. Linda can save $10,000 per year, and you determine that she is willing to invest in a stock-bond portfolio mix expected to provide an average return of 7% in the future. Linda expects the live for 25 years if she retires at 65. How much will she be able to withdraw at the beginning of each year after retirement if she continues to earn the same rate of return in retirement?

$110,861

$121,874

$115,834

$108,840

$113,128

Part A) What is the present value of the first withdrawal made in retirement if the inflation rate is 3%?

$32,459

$42,548

$45,924

$35,873

$39,398

(Please use an finance equation and/ or formula rather than using a sheet chart or graph)