American General offers a 7-year ordinary annuity with a guaranteed rate of 6.35% compounded annually. How much

Question:

American General offers a 7-year ordinary with a guaranteed rate of 6.35% compounded annually. How much should you pay for one of these annuities if you want to receive payments of $10,000 annually over the 7-year period?
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,...