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38. Maggie is 65 and is owner and annuitant under an annuity contract that begins this year, making annuity payments of $9,000 per year
38. Maggie is 65 and is owner and annuitant under an annuity contract that begins this year, making annuity payments of $9,000 per year for life with 10 years certain. If Maggie's investment in the contract she has owned for 9 years is $100,000, her life expectancy under the regulations is 20 years, and the actuarial value of the 10-year guarantee is $6,000, (i.e., refund feature) what is the amount of the annuity payment that could be excluded from Maggie's gross income each year? a. $4,504 b. $4,700 c. $5,000 d, $5,172
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