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Katope wishes to invest his Tshs $100,000,000$ in one of the Mutual Funds to boost his future income. The following information is also available regarding the two products

$\backslash$table$[[$Details$,$Products$],[\backslash$table$[[$TAG Mutual$],[$Fund$]],\backslash$table$[[$SEWE Mutual$],[$Fund$]]],[$Net Asset Value $($Tshs$),300,000,000,250,000,000$

ii$.$ If TAG Mutual Funds is expecting to buy back $40\%$ of existing shares in four months' lime$.$ If the discount premium remains the same after the buyback, compute the new Net asset Value per share. New Market Value per share and advice Katope on whether he should buy the Units now of wait after the buyback exereise is complete.

$42.$ Mavugo is a Government employee who receives a salary of Tshs $4,500,000)$ per month. Mavugo expects to retire $8$ years from now after working for $40$ years and expect to live for $20$ years after retirement. As a preparation to his redrement. Mavugo has been contributing to the XYZ private pension fund for a guaranteed pension equal to $\frac{2}{3}$ of his current salary after retirement.

Required

i$.$ How much Mavugo save in the pension fund for a retirement of $\frac{2}{3}$ rd of his current income when real interest rate is zero?

ii$.$ If Mavugo is expecting real rate of interest of $6\%$ p$.$a$.$ what would be the required annual savings?

$43.$ Joseph is an employee of ABC LTD$,$ a company which allows permit employees to choose their own suitable pension benefit plans. Joseph is now $40$ years old and is considering contributing to the private pension fund, which will guarantee him monthly payments equal to $\frac{3}{4}$ of his current income. Joseph current income is Tshs $3,000,000$ per month and is expected to remain constant to the time of his retirement.

Required:

i$.$ If the expected real interest rate is $8\%$ per year, how much should be aceumulated in the pension fund to meet the expectations of Mr Joseph if he lived for $20$ years after retirement?

ii$.$ If Mr Jangala is to retire at the age of $58$ years, how much should be contributed monthly to achieve the desired retirement benefit?

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