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Jacinda is 3 0 years old and intends to retire at age 6 5 . According to the estimation of life expectancy for Canadian women,

Jacinda is 30 years old and intends to retire at age 65. According to the estimation of life expectancy for Canadian women, they expect to live for 25 years into retirement, and therefore needs to save enough funds in the next 35 years to support herself for another 25 years after retirement. She plans to make monthly contributions to a mutual fund earning 12.0% annually, and then at retirement, will put her savings into guaranteed investment certificates (GICs), paying 4.0%. Taking inflation into account, Karen estimates that she will need a monthly income of $4000 throughout retirement. How much must she invest each month in the mutual fund to ensure this standard of living? Assume that there is monthly compounding for the mutual fund.

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