If the interest rate is 5% compounded annually, what is the value of the following three investments? a. An investment that offers you $290 a year in perpetuity with the payment at the end of each year. (Round your answer to 2 decimal places.) Present value $ 5,800.00 b. A similar investment with the payment at the beginning of each year. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value $ 6,090.00 c. A similar investment with the payment spread evenly over each year. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present value You estimate that by the time you retire in 35 years, you will have accumulated savings of $3.2 million. a. If the interest rate is 8.0% and you live 15 years after retirement, what annual level of expenditure will those savings support? (Do not round intermediate calculations. Enter your answer in whole dollars rounded to 2 decimal places.) Annual expenditure $ 373,854.54 b. Unfortunately, inflation will eat into the value of your retirement income. Assume a 3% inflation rate and work out a spending program for your $3.2 million in retirement savings that will allow you to increase your expenditure in line with inflation. What will be your expenditure amount in real terms for each year of your retirement? (Do not round intermediate calculations. Enter your answer in whole dollars rounded to 2 decimal places.) Real annual expenditure