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Springfield mogul Montgomery Bums, age 70. wants to retire at age 100 so he can steal candy from babies full time. Once Mr. Bums retires,
Springfield mogul Montgomery Bums, age 70. wants to retire at age 100 so he can steal candy from babies full time. Once Mr. Bums retires, he wants to withdraw $1.2 billion at the beginning of each year for 6 years from a special off shore account that will pay 24 percent annually. In order to fund his retirement, Mr. Burns will make 30 equal end-of-the-year deposits in this same special account that will pay 24 percent annually. How much money will Mr. Bums need at age 100, and how large of an annual deposit must he make to fund this retirement account? a. If the retirement account will pay 24 percent annually, how much money will Mr Bums need when he retires? b. How large of an annual deposit must he make to fund this retirement account
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