The manager responsible for the pension fund of Ruthin plc has to present a report to the Board of Directors on the financial position of the fund. He decides to use the position of the typical employee to illustrate the funds position. There is 30,000 currently held in the fund for each employee. The typical employee has 15 years to go to retirement and the companys actuary has proposed that the company should anticipate having to fund pension payments over a retirement period of 12 years for the average employee. The average pension payment per annum is expected to be 12,000 and the rate of return expected on the pension funds investment is expected to be 6 per cent. The manager needs to determine the constant annual sum that the company needs to put into the pension fund for each of the next 15 years to be able to meet the funds obligations. Determine this annual sum. (Assume all payments into the fund and all pension payments are made at the end of each year.)

Please show workings with formula not excel formulas.