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You wish to retire after 22 years, at which time you want to have accumulated enough money to receive an annuity of $70,000 a year
You wish to retire after 22 years, at which time you want to have accumulated enough money to receive an annuity of $70,000 a year for 26 years of retirement. During the period before retirement you can earn 3 percent annually, while after retirement you can earn 5 percent on your money. What annual contribution to the retirement fund will allow you earn to receive the $70,000 annually?
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