Meg Cohen is about to turn sixty-five and retire from her job as a school librarian. When she retires, she will receive a lump-sum pension disbursement of $320,000. She plans to place the money in an annuity, but she is having trouble deciding among three different annuity options:

Option 1: fixed period annuity

Option 2: a single-life annuity

Option 3: refund annuity

What are the advantages and disadvantages of each option?