Question

As part of your retirement plan, you want to set up an annuity in which a regular payment of $35,000 is made at the end of each year. You need to determine how much money must be deposited earning 6% compounded annually in order to make the annuity payment for 20 years.
a.
$391,125.87
c.
$397,502.32
b.
$395,083.12
d.
$401,447.24