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Office Industries uses a final average formula to calculate employees’ pension benefits. The calculations use the salary average of the final four years of employment. The retiree will receive an annual benefit that is equivalent to 1.4% of the final average for each year of employment. Charlotte and Krista are both retiring at the end of this year. Calculate their annual retirement pensions.a. Krista’s years of employment: 18 Final four annual salaries: $ 72,000, $ 74,780, $ 74,780, $ 76,000b.
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