1.A. Suppose Jay wants to retire in exactly 16 years from today. He needs exactly $125000.00 when he reaches his future retirement age. In order to meet his goal retirement savings, he will make monthly contributions to his retirement account beginning one month from today. He will continue making equal monthly payments in the account until he reaches retirement age in 16 years. What minimum amount needs to be places in his account at the end of each month so he will reach his retirement savings goal, if the annual interest rate is 4%?

B. You recently learned that your late grandmother has left you an inheritance. Your inheritance will allow you to receive the amount of $1600 at the end of each year for a total of 11 consecutive years. However, because of your young age, these amounts will not begin until the end of 3 years. If the interest rate is 9%, what is the equivalent present value of the inheritance?