XYZ has nothing in his retirement account. However, he plans to save $8,000 per year in his retirement account for each of the next 16 years. His first contribution to his retirement account is expected in 1 year. XYZ expects to earn 6.5 percent per year in his retirement account. XYZ plans to retire in 16 years, immediately after making his last $8,000 contribution to his retirement account. In retirement, XYZ plans to withdraw $40,000 per year for as long as he can. How many payments of $40,000 can XYZ expect to receive in retirement if he receives annual payments of $40,000 in retirement and his first retirement payment is received exactly 1 year after he retires?

		XYZ can make an infinite number of annual withdrawals of $40,000 in retirement
		5.35 (plus or minus .02 payments)
		4.49 (plus or minus .02 payments)
		6.79 (plus or minus .02 payments)
		D is not correct and neither A, B, nor C is within .02 payments of the correct answer