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Consider an investment of $225,000 earning 5% annually. How long could it sustain annual withdrawals of $20,000 (including the smaller final payment) starting immediately? The

  1. Consider an investment of $225,000 earning 5% annually. How long could it sustain annual withdrawals of $20,000 (including the smaller final payment) starting immediately?
  2. The advertised month-end financing payments on a $28,757.72 car are $699 for a four-year term. What semi-annual and effective interest rate is being used in the calculation?

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