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Assume that Social Security promises you $43,000 per year starting when you retire 45 years from today (the first $43,000 will get paid 45 years

Assume that Social Security promises you

$43,000

per year starting when you retire 45 years from today (the first

$43,000

will get paid 45 years from now). If your discount rate is

7%,

compounded annually, and you plan to live for

years after retiring (so that you will receive a total of

payments including the first one), what is the value today of Social Security's promise?

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