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A2) The amount Frank must save each year {beginning at the end of the first year) to fund his retirement is (3 pts}: AB) If

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A2) The amount Frank must save each year {beginning at the end of the first year) to fund his retirement is (3 pts}: AB) If Frank decides to make monthly deposits for 35 to reach his same retirement goal, how much must Frank start depositing one month from today (3 pts}? B. If Frank decides instead to take exotic vacations each year for the next 5 years, and delay putting aside funds for that time, (lst deposit at the end of En years from now, leaving only 30 years to grow his retirement nest egg}. what amount must he deposit annually to be able to make the desired withdrawals at retirement (4 pts)? C. Suppose your friend has just inherited a large sum of money. Rather than making equal aImual payments, he has decided to make one lump sum depnll today to cover his retirement needs. What amount does he have to deposit today? (3 pts} D. We are now back to Frank staring his retirement investments one year from now {35 years to retirement}. Suppose Frank's employer will contribute $2,000 to the account each year as part of the company's profit sharing plan. In addition, assume that Frank has a trust fund that will pay out $25,000 to him when he is 50 (20 years from now). What amount must he deposit annually under these assumptions to he able to make the desired withdrawals at retirement? To find the amount of the armual deposit now, it is easier to break down the components of the problem. Doing so for each of the following to nd your friend's annual deposit, we get: D1) Value of employer's contribution at retirement (1 pt]: D2) Value of trust fund at retirement (1 pt)

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