Determine the amount needed such that when it comes time for retirement, an individual can make semiannual withdrawals in the amount of $15,265 for 35 years from an account paying 4.5% compounded semiannually. Round your answer to the nearest cent.

There are 35 × 2 = 70 semiannual withdrawals, and the interest rate per half-year is 4.5% ÷ 2 = 2.25%. The amount needed at retirement is the present value of an ordinary annuity: 15,265 × [1 − (1.0225)^−70] ÷ 0.0225 ≈ $535,528.03. Therefore, the best answer is choice C, $535,528.03.

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