Question 1163416
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<pre>

Use the general formula  X = {{{W*p*((1-p^(-n))/r)}}}.


In this case  the withdrawal annual rate is  W = $35000,  the annual compounding rate 
is  r = 0.05,  p = 1 + 0.05 = 1.05, the number of withdrawal periods  is n = 20. So


          X = {{{35000*1.05*((1-1.05^(-20))/0.05)}}} = 457,986.24 dollars. 


It is how much your account should  have at the beginning.    


You will pull out  35000*20 = 700,000 dollars.


The difference  700,000 - 457,986.24 = 700,000 - 457,986.24 = 242,013.76 is the interest.
</pre>

Solved. &nbsp;&nbsp;&nbsp;&nbsp;All questions are answered.


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See my lessons in this site associated with annuity saving plans and retirement plans 


&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=http://www.algebra.com/algebra/homework/Sequences-and-series/Ordinary-Annuity-saving-plans-and-geometric-progressions.lesson>Ordinary Annuity saving plans and geometric progressions</A>

&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=http://www.algebra.com/algebra/homework/Sequences-and-series/Annuity-due-saving-plans-and-geometric-progressions.lesson>Annuity Due saving plans and geometric progressions</A>

&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=https://www.algebra.com/algebra/homework/Sequences-and-series/Solved-problem-on-Ordinary-Annuity-saving-plans.lesson>Solved problems on Ordinary Annuity saving plans</A> 

&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=https://www.algebra.com/algebra/homework/Sequences-and-series/Withdrawing-a-certain-amount-of-money-periodically-from-a-compounded-saving-account.lesson>Withdrawing a certain amount of money periodically from a compounded saving account</A> (*)

&nbsp;&nbsp;&nbsp;&nbsp;- <A HREF=https://www.algebra.com/algebra/homework/Sequences-and-series/Solved-problems-on-Annuity-saving-plans.lesson>Miscellaneous problems on retirement plans</A> 


and especially lesson marked &nbsp;(*) &nbsp;in the list as the most relevant to the given problem.