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John E. Nvestor is planning his own retirement plan and needs to create a savings plan for his retirement. He wants to receive $5,000 monthly at the beginning of his retirement age of 65 years. Yesterday he celebrated his 35 birthday and his life expectation is 85 years old. If he can receive an average interest of 12% on his retirement investment. How much money should been John have to deposit at the end of each month to reach his savings and retirement goal?
Use and present time value formulas.
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