Mr. and Mrs. Kandasamy are considering whether they will have enough money to retire early, i.e., 20 years from today, at the age of 60. Currently, the amount accumulated in their retirement funds is RM200,000 and they have RM50,000 in other investments. Mr. and Mrs. Kandasamy will contribute RM24,000 per year to their retirement plans and another RM6,000 per year in other investments. i) Suppose their assets in the retirement fund grow at an average rate of 8% p.a. and other investments grow at an average rate of 10% p.a. How much money will they have when they turn 60? (7 marks) ii) After they have retired, they plan to invest their wealth conservatively that is expected to earn about 6% p.a. Is the amount accumulated by the Kandasamys at retirement sufficient to fund a RM180,000 per year of the retirement income during their 30 years retirement period? (4 marks)

b) For a retiree who anticipates living for another 30 years, earns 8% p.a. from his / her investment and will require RM36,000 per year, how much in the retirement funds would he / she need on the date of retirement?