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Question b using excel please. Carolyn is 55, and is predicted to not live passed 80.

If Carolyn retires at age 62 , she will receive from Social Security and an employer-sponsored pension plan a total of $1,359 per month ( $16,308 annually); if she waits until age 65 to retire, her total retirement income will be $1,688 per month ( $20,256 annually). For convenience, Carolyn has already decided to convert all her assets at the time of retirement into a stream of annual income and she will at that time purchase an annuity by paying a single premium. The annuity will have a life just equal to the number of years remaining until her 80th birthday. If Carolyn retires at age 62 and buys an annuity at that time, for each $1,000 that she puts into the annuity she will receive an annual benefit equal to $79 for the subsequent 18 years. If she waits until age 65 to retire, each $1,000 invested in the annuity will produce an annual benefit of $89.94 for the 15 years. Carolyn plans, to place any funds currently available into a savings account paying 6% compounded annually until retirement. She does not expect to be able to save or invest any additional funds between now and retirement. Questions a. Assume that Carolyn places currently available funds in the savings account. Determine the amount of money Carolyn will have available at retirement once she sells her house if she retires at (1) age 62 and (2) age 65. b. What is the annual rate of return she earns on the annuities

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