Question: Please use Excel and show formulas! Thank you so much! In a defined benefit pension plan for public employees of Illinois: (a) Employees work for

Please use Excel and show formulas! Thank you so much!

In a defined benefit pension plan for public employees of Illinois:

(a) Employees work for 30 years earning wages that increase at a real rate of 1.5% per year.

(b) They retire with a pension equal to 70% of their final salary. This pension decreases at the real of rate of 1% per year.

(c) The pension is received for 20 years.

(d) The pension fund assets earn a real rate of 3%.

Find the percentage of an employees salary that must be contributed to the pension plan if it is to remain solvent.

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