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You are 25 years old and decide to start saving for your retirement. You plan to save $X at the end of each year (so
You are 25 years old and decide to start saving for your retirement. You plan to save $X at the end of each year (so the first deposit will be one year from now), and will make the last deposit when you retire at age 67. Suppose you earn 4% per year on your retirement savings. You want the present value of your total retirement savings to be $2Million. How do you need to save each year (the same amount at the end of every year)? Round your answer to the nearest $0.01
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