Lisas salary as of Jan. 2, 2015 is $28,000. Her retirement will be starting on Jan. 1, 2020. She is expecting a year-end salary increase of 4% per year effective the Jan. 1^st of each of the working year until the start of her retirement. When she retires, her annual retirement benefit is going to be 65% of her last salary.

Compute (a) her last salary before retirement; and (b) her annual retirement salary and place your answer in the space provided.