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An annuity immediate has semiannual payments of 800, 750, 700, 650, . . ., 350, at (2)=0.16. If 0.08 = 4, find the present value of the annuity in terms of A. At an annual effective interest rate of 10%, the present value of a perpetuity immediate with successive annual payments of 3, 6, 9, 12, ..., is equal to X. Calculate X. An insurance company has an obligation to pay the medical costs for a claimant. Annual claim costs today are 5000, and medical inflation is expected to be 7% per year, which means that the claim costs increase 7% each year. The claimant will receive 20 payments. Claim payments are made at yearly intervals, with the first claim payment to be made 1 year from today. Using an annual effective interest rate of 5%, calculate the accumulated value of the obligation at the time of the last payment.