Amber would like her RRSP earning 5.1% compounded semi-annually to pay her $2,500 at the end of every month for 20 years once she retires at age 65. What lump-sum amount at age 25 would Amber need to invest? Suppose she can get rates of 11.2% compounded annually for the first 35 years followed by 5.9% compounded annually until she needs the money at retirement. 

20. Compute the following scenarios using different interest rates of 6%, 8%, and 10% compounded annually throughout.

a. What is the present value of a deferred annuity with a 10-year deferral period followed by a 10-year ordinary annuity with annual $10,000 payments?

b. What is the annual annuity payment if a lump sum of $50,000 is invested for 10 years followed by a 10-year ordinary annuity?

c. What is the term of the annuity if a lump sum of $50,000 is invested for 10 years followed by an ordinary annuity paying $20,000 annually? d. Discuss your observations from all of the above scenarios.

d. Discuss your observations from all of the above scenarios.