An engineer in 1950 was earning $5,000 a year. In 2017 she earned $100,000 a year. However, on average, prices in 2017 were higher than in 1950. What was her real income in 2017 in terms of constant 1950 dollars? Use the data in Table 5.8. (Round your answer to 2 decimal places.) Real income in 2017 (50.40) %A store will give you a 3.75% discount on the cost of your purchase if you pay cash today. Otherwise, you will be billed the full price with payment due in 1 month. What is the implicit borrowing rate being paid by customers who choose to defer payment for the month? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal places.) Effective annual rate 41.25 %The consumer price "Index (CW) shows how 9 increased the cost of mily's purchases. TABLE 5.8 i mien ha a typicd fa A couple will retire in 50 years; they plan to spend about $40,000 a year in retirement, which should last about 25 years. They believe that they can earn 7% interest on retirement savings. a. If they make annual payments into a savings plan, how much will they need to save each year? Assume the first payment comes in 1 year. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Annual savings $ 2,638.53 b. How would the answer to part (a) change if the couple also realize that in 20 years they will need to spend $70,000 on their child's college education? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Annual savings $ 5,903.64