Assume that Bob is age 53 and plans to retirement at age 60. He will be able to save $24,000 per yea

Assume that Bob is age 53 and plans to retirement at age 60. He will be able to save $24,000 per year for the next three years and $80,000 per year for the following fouryears. In addition, he has $600,000 currently invested in real estate.(a) If your friend’s annual savings over the next seven years are deposited in an account thatpays 6% compounded annually and the value of his real estate appreciates at the rate of10% per year, how much will he have upon retirement at age 60? (Disregard taxes.)(b) Your friend expects to live to be 90 — that is, he expects to live for 30 years afterretirement. If at age 60 he deposits all his wealth in a saving account that pays 7% annualinterest, how much should he withdraw at the end of each year to end up with a zerobalance in the year of his expected death?(c) Assume all the conditions in part (b) except that your friend wants to leave an estate of$250,000 when he dies. How much can he draw out of the account each year after hereaches age 60?