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Assume that Social Security promises you $35,000 per year starting when you retire 45 years...

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Finance

Assume that Social Security promises you $35,000 per year starting when you retire 45 years from today (the first $35,000 will get paid 45 years from now). If your discount rate is 9%, compounded annually, and you plan to live for 16 years after retiring (so that you will receive a total of 17 payments including the first one), what is the value today of Social Security's promise?

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