You inherit $300,000 from your parents and want to use the money to su

You inherit $300,000 from your parents and want to use the money to supplement your retirement.
You receive the money on your 65th birthday, the day you retire. You want to withdraw equal
amounts at the end of each of the next 20 years.

What constant amount can you withdraw each
month and have nothing remaining at the end of 20 years if you are earning 7% interest
compounded monthly?
A) $2,326 B) $1,200 C) $2,943 D) $1,829

ANSWER

A