Question: Boris recently turned 30, an event causing him to give thought to some long-range financial planning. He believes that, if he owns a home and

Boris recently turned 30, an event causing him to give thought to some long-range financial planning. He believes that, if he owns a home and is debt-free by age 60, he and his partner can retire and live comfortably on an annual income that is equivalent to $40,000 today. Fill in the cells of the following table with the nominal annual income needed to satisfy this criterion at each age under each of three inflation rate scenarios.

2% annual inflation 3% annual inflation 4% annual inflation Income at age 60: Income at age 70: Income at age 80:

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