Mark Ventura has just purchased an annuity to begin payment two years from today. The annuity is for $17,000 per year and is designed to last 10 years.

If the interest rate for this problem calculation is 12 percent, what is the most he should have paid for the annuity? Use Appendix B and Appendix D for an approximate answer, but calculate your final answer using the formula and financial calculator methods. (Do not round intermediate calculations. Round your final answer to 2 decimal places.)

Appendix D Present value of an annuity of $1. PVA 1 PV = A1 (1+1% Percent Period 1% 2% 3% 4% 5% 6% 7% 9% 1 10% 12% 0.962 0.935 2 0.893 3 4 0.917 1.759 2.531 3.240 0.971 1.913 2.829 3.717 4.580 5.417 6.230 7.020 5 6 0.990 1.970 2.941 3.902 4.853 5.795 6.728 7.652 8.566 9.471 10.368 11.255 12.134 0.943 1.833 2.673 3.465 4.212 4.917 5.582 6.210 6.802 8% 0.926 1.783 2.577 3.312 3.993 4.623 5.206 5.747 1.808 2.624 3.387 4.100 4.767 5.389 5.971 1.690 2.402 3.037 3.605 7 8 0.909 1.736 2.487 3.170 3.791 4.355 4.868 5.335 5.759 6.145 6.495 4.111 9 10 11 12. 4.564 4.968 5.328 5.650 5.938 0.980 1.942 2.884 3.808 4.713 5.601 6.472 7.325 8.162 8.983 9.787 10.575 11.348 12.106 12.849 13.578 14.292 14.992 15.678 16.351 19.523 22.396 27.355 31.424 13 1.886 2.775 3.630 4.452 5.242 6.002 6.733 7.435 8.111 8.760 9.385 9.986 10.563 11.118 11.652 12.166 12.659 13.134 13.590 15.622 17.292 19.793 21.482 0.952 1.859 2.723 3.546 4.329 5.076 5.786 6.463 7.108 7.722 8.306 8.863 9.394 9.899 10.380 10.838 11.274 11.690 12.085 12.462 14.094 15.372 17.159 18.256 6.814 7.103 3.890 4.486 5.033 5.535 5.995 6.418 6.805 7.161 7.487 7.786 8.061 8.313 8.544 8.756 14 6.515 7.024 7.499 7.943 8.358 8.745 9.108 9.447 9.763 10.059 7.360 7.887 8.384 8.853 9.295 9.712 10.106 10.477 10.828 13.004 13.865 7.786 8.530 9.253 9.954 10.635 11.296 11.938 12.561 13.166 13.754 14.324 14.877 17.413 19.600 23.115 25.730 11% 0.901 1.713 2.444 3.102 3.696 4.231 4.712 5.146 5.537 5.889 6.207 6.492 6.750 6.982 7.191 7.379 7.549 7.702 7.839 7.963 8.422 8.694 8.951 9.042 15 16 17 6.247 6.710 7.139 7.536 7.904 8.244 8.559 8.851 9.122 9.372 9.604 9.818 10.675 11.258 11.925 12.233 7.367 7.606 7.824 8.022 8.201 18 14.718 15.562 16.398 17.226 18.046 22.023 25.808 32.835 39.196 19 6.194 6.424 6.628 6.811 6.974 7.120 7.250 7.366 7.469 7.843 8.055 8.244 8.304 20 25 30 8.950 9.129 8.365 8.514 11.158 11.470 12.783 13.765 15.046 10.336 10.594 11.654 12.409 13.332 13.801 9.077 9.427 40 9.823 10.274 10.757 10.962 50 15.762 9.779 9.915 earch