ally into a life insurance fund for the next 5 years, at which time he plans to retire. Instead of a lump sum, Jim wishes to receive annuities for the next 20 years. What is the annual payment he expects to receive beginning the year he retires if he assumes an interest rate of 8.8 percent for the whole time period? (Do not round intermediate calculations. Round your answer to 2 decimal places. (e.g., 32.16)

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A: Calculate the monthly payments as follows:MS-Excel --> Formulas --> Financials -->PMT

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A:

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A: Given: Future value is $60,000 Years = 17 APR = 3.7%

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A:

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A: Future value required (FV) = $ 80000 Interest rate = 3.7% Quarterly interest rate (r) = 3.7%/4 =…

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A: Here,

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