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Figure Q1 Beautiful Morocco At the age of 20 years old, Mr. Moonim is already planning for his retirement. He is planning to move to
Figure Q1 Beautiful Morocco At the age of 20 years old, Mr. Moonim is already planning for his "retirement". He is planning to move to Morocco where his national authorities will be hard-pressed to locate him; well, theoretically of course. It is forecasted that he needs to be able to acquire $15,000 per year after retirement up to the age of 70. Beyond the age of 70 he shall go by with another identity: Ms. Eyeviy. He is planning to make an annual deposit into his bank account till he turns to the age of 60 (Year 0 in reaching the age of 70). If the interest rate is a constant 10% compounded annually during the period, how much should Mr. Moonim deposits annually into his account in order to attain the amount that he planned upon retirement? Sketch the cash-flow diagram for the situation from the point of view of the bank. Page 1 of 4
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