Data for the next 3 questions: Riley Company just hired another employee Barbara. The Riley Company provides supplemental retirement benefits to its employees realizing the insufficiency of the Social Security benefits for a comfortable retirement life. Riley has asked you to perform the necessary computations pertaining to the retirement benefits for Barbara. Barbaras current salary is $28,000. Barbara will be entitled to this supplementary retirement benefits after 25 years work the start of the 26^st year. The retirement plan will last for 20 years. Per company practices, Barbara will be granted with a year-end salary increase of 4% per year effective Jan. 1^st of each year that she works. The amount of annual retirement benefit is going to be 40% of her Barbaras salary right before the start of the retirement and will be paid at the start of each year. Any invested funds for pension will earn 6% compounded annually. Compute:

Q18. Barbaras annual retirement benefit.

Q19. Assume your answer to Q11 is $48,000. What amount must be on deposit right before the start of

Barbaras retirement in order to assure that all the retirement benefits will be paid?

Q20. Assume your answer to Q11is $300,000. What amount should Riley Company set aside at the

end of each year for the next 25 years (during the years that Barbara is working) in order to assure

that all the retirement benefits will be paid and honored?