Brief Exercise A-11

Robben Company is considering investing in an annuity contract that will return $30,500 annually at the end of each year for 19 years.

(For calculation purposes, use 5 decimal places as displayed in the factor table provided.)

What amount should Robben Company pay for this investment if it earns an 6% return? (Round answer to 2 decimal places, e.g. 25.25.)

Robben Company should pay $