Question
Consider the situation of John. He is 50 years old and can purchase a lifetime annuity for $100,000.The annuity pays John $9,000 per year for
Consider the situation of John. He is 50 years old and can purchase a lifetime annuity for $100,000.The annuity pays John $9,000 per year for the rest of his life. If John lives to be 91, what rate of return will he earn on this investment? What if John only lives to be 79?
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Equity Valuation And Portfolio Management
Authors: Frank J. Fabozzi, Harry M. Markowitz
1st Edition
047092991X, 9780470929919
