A 65 year old man intends to use his retirement funds to purchase an annuity from a life insurance company. Given the amount of money the man has available to invest, the insurance company is able to offer two alternatives.

The first option is to receive 2481 $ each month for as long as he lives.

The second option is to receive 2830 each month, but for only 20 years (payments will be made to his estate if he should die before that time)

The relevant interest rate is 6 % per year monthly compounding.

How long must the man live so that the first option is a better deal ?

Select 1.

100 , 89 , 97 , 92, 90 years of age ?