Question
For the next 30 years in retirement, Lisa wants to receive an annual payout that starts at $20,000 and then receive an annual Cost-of-Living Adjustments
For the next 30 years in retirement, Lisa wants to receive an annual payout that starts at $20,000 and then receive an annual Cost-of-Living Adjustments of 5%. If Lisas annuity will collect 10% interest annually,
(a) How much principal does Lisa need in order to afford her payout annuity goal?
(b) How much will Lisas payout be in the last year?
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Finance For Non Financial Managers
Authors: Pierre Bergeron
6th Edition
0176501630, 9780176501631
