Under the Final Average Earnings Pension Plan (one type of DB pension plan), Eric has a final five years average earnings of $100, 000. Eric has worked for 35 years and retires at his age of 65. He is entitled to the maximum CPP retirement pension payable in 2022, which is equal to $15, 043.08.

(a) (i) Calculate the pension amount that Eric would receive under his employers pension plan with a pension rate of 2.0% without integration with CPP. (ii) With the CPP what would be the total pension income he receives? (iii) Calculate Erics total pension income as a percentage of his pre-retirement income (in terms of his final 5-year average earnings).

(b) Assume that Erics employers pension plan calls for a step-rate integration. The formula is 1.3% of earnings up to the Yearly Maximum Pensionable Earnings (YMPE) and 2.0% of earnings in excess of the YMPE ($64, 900 in 2022). (i) Calculate the pension income that Eric would receive under his employers pension plan with the proposed step-rate integration. (ii) With the CPP what would be the total pension income he receives? (iii) Calculate Erics total pension income as a percentage of his pre-retirement income (in terms of his final 5-year average earnings).