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14) Your father is about to retire, and he wants to buy an annuity that will provide him with $100,000 of income per year for
14) Your father is about to retire, and he wants to buy an annuity that will provide him with $100,000 of income per year for 20 years, beginning a year from today. The going rate on such annuities is 1.0%. How much would it cost him to buy such an annuity today (in $'000s)? a $1,059 b. $1,447 c. $1,805 d. $2,009 e. $3,487 8) What would the future value of $2,000 be after 5 years at 4% compound interest? a. $1.149 b. $1,364 $2,212 $2,433 $2,772 SUDO
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