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Immediately upon being elected, a new U.S. Senator is guaranteed a retirement fund of $500,000. A good money manager can earn 8% interest, compounded quarterly.
Immediately upon being elected, a new U.S. Senator is guaranteed a retirement fund of $500,000. A good money manager can earn 8% interest, compounded quarterly. The average senator will live for 15 years after retirement. How much will a senator be able to withdraw each quarter after retiring from his or her job on Capital Hill?
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