A 10-year indexed annuity was purchased in which the end-of-month payments start at $1250.00 and diminish by

Question:

A 10-year indexed was purchased in which the end-of-month payments start at $1250.00 and diminish by 0.5% per payment. If interest is 4.8% compounded monthly, what amount was initially paid for this Annuity
An annuity is a series of equal payment made at equal intervals during a period of time. In other words annuity is a contract between insurer and insurance company in which insurer make a lump-sum payment or a series of payment and, in return,...