Determine the annual payment required to fund a future annual annuity of $12,000 per year. You will

Question:

Determine the annual payment required to fund a future annual of $12,000 per year. You will fund this future liability over the next five years, with the first payment to occur one year from today. The future $12,000 liability will last for four years, with the first payment to occur seven years from today. If you can earn 8% on this account, how much will you have to deposit each year over the next five years to fund the future liability?
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,...