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An insurance company is trying to sell you a retirement annuity. The annuity will give you 20 payments with the first payment in 11 years
An insurance company is trying to sell you a retirement annuity. The annuity will give you 20 payments with the first payment in 11 years when you retire. The insurance firm is asking you to pay$40,000 today. If this is a fair deal, what must the payment amount be (to the dollar) if the interest rate is 5 percent? (Please explain all the steps) .
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