A life insurance company can invest funds to earn (after expenses) 8% compounded quarterly. A client wishes

Question:

A life insurance company can invest funds to earn (after expenses) 8% compounded quarterly. A client wishes to purchase a five-year ordinary annuity that will commence 3 1/2 years from now. What will the insurance company charge for the annuity, if the quarterly payments are $750?

Fantastic news! We've Found the answer you've been seeking!