a. Calculate the continuous compound annual rate of inflation if the index of retail prices was 134.67 on the 1st of January 1995, and had risen to 204.78 by the 1st of January 2000.
b. Calculate the future value, immediately after the last deposit has been made, of an annuity with a term of 12 years, consisting of annual payments of £5000, if the interest rate is 9% per annum compounded annually.