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Question: Sara turned 30 today and is planning to save $5,000 per year for retirement, with the first deposit to be made one year from today. She will invest in a mutual fund that's expected to provide a return of 7% per year until she retires 30 years from today. She expects to live for 20 years after retirement. Under these assumptions, how much can she spend each year after she retires if she can earn 8% on her money after retirement? Her first withdrawal will be made at the end of her first retirement year. Please show the steps how you got the answer.

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