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Mary is a member of a retirement annuity fund. She contributes an amount of R 6 0 0 0 per annum to the fund in

Mary is a member of a retirement annuity fund. She contributes an amount of R6000 per annum to the fund in the current year of assessment. She will in future increase her contributions at a rate of 5% per annum until she retires from the fund, which is in 17 years time. The current value of her interest in the fund is R390000. Because of the costs involved in the administration of the fund only 94% of the installments that she pays are invested in the investment fund. Assume that the funds growth rate will be 8% per annum. Calculate what the value of her pension interest in the fund will be when she retires in 17 years time.

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