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Question 16 (4 points) You are offered an annuity that will pay $24,000 per year for 24 years (the first payment will be made today).
Question 16 (4 points) You are offered an annuity that will pay $24,000 per year for 24 years (the first payment will be made today). If you feel that the appropriate discount rate is 8%, what is the annuity worth to you today? $1,602,354.22 $272,905.41 $252,690.20 $1,730,542.56 $1,176,930.60 Question 19 (4 points) You are offered an investment with a quoted annual interest rate of 11% with semi- annual compounding of interest. What is your effective annual interest rate? 11.68% 11.18% 10.71% 11.30% 11.00%
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