Question
Alice will receive CPP of $7,533 which is indexed and an annuity of $15,000 which is not indexed. She uses a 7% discount rate when
Alice will receive CPP of $7,533 which is indexed and an annuity of $15,000 which is not indexed. She uses a 7% discount rate when inflation is 3% and expects to live for 27 years in retirement. What is the present value at retirement of Alice's annuity income?
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Corporate Finance A Focused Approach
Authors: Michael C. Ehrhardt, Eugene F. Brigham
4th Edition
1439078084, 978-1439078082
