Before the inheritance was received, the couple asked you to prepare retirement needs analysis so that they can
fund their remaining years in retirement. They provided you with estimated expenses of $125,000 per year, and want you to offset this amount by their Social Security benefits and Thomas's pension. In addition, they want you to factor in the $197,000 portfolio of assets that they saved to achieve their retirement goal. They advise you to use a 32 year retirement period, a yearly inflation rate of 3.5%, and an annual return of 6.5% (assume this is an pre- tax investment rate). If the Smith wanted to retire today, how much additional portfolio assets would they require? Show your work.