Question 133 pts

Twenty years ago, Ms. Y paid $100,000 for a single-premium annuity contract. This year, she began receiving a $3,000 monthly payment that will continue for her life. On the basis of her age, she can expect to receive $500,000. How much of each monthly payment is taxable income to Ms. Y?

Group of answer choices

$3,000

$600

$1,500

$2,400