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Anthony 65, has recently retired. He estimates that he will require $50,000 in after-tax real dollars per year. He does not expect to live beyond
Anthony 65, has recently retired. He estimates that he will require $50,000 in after-tax real dollars per year. He does not expect to live beyond 95 years old. All his investments are in government bonds, expecting to yield a nominal rate of 6% per year. His tax rate is 30%, and the rate of inflation is expected to be 3%. How much money does he need today to support his life style?
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