A client deposits $100,000 into a segregated fund with maturity and death-benefit guarantees of 100%. The fund value grows to $120,000, at which point the client wants to withdraw $30,000 from his account. What will be the new guarantee of the contract, using the proportional method, and what will be the amount of taxable income to the client on such a withdrawal? New guarantee of $90,000, and taxable income of $30,000 New guarantee of $70,000, and taxable income of $20,000 New guarantee of $75,000, and taxable income of $20,000 New guarantee of $75,000, and taxable income of $5,000