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Remember, great-aunt Agnus, doesn't need the income stream for 5 years. At the time of writing, today is Feb 1st 2020 - thus, Agnus wishes
Remember, great-aunt Agnus, doesn't need the income stream for 5 years. At the time of writing, today is Feb 1st 2020 - thus, Agnus wishes to retire in 5 years on Jan 31st 2025 (or close enough). She estimates her retirement needs pre-tax is recurring monthly income for 15 years of $15,000 after she retires. 94. Suppose Agnus was to retire immediately. If she purchased an annuity today and wishes to receive recurring monthly income, beginning in one month for 15 years of $15,000 after she retires. The APR quoted is 6.0%. How much would she pay today to buy this annuity? 95. Next, suppose Agnus was to retire in five years, as originally planned. If she purchased an annuity today and wishes to receive recurring monthly income of $15,000 after she retires, beginning in five years and one month, lasting for 15 years. The APR quoted is 6.0%. How much would she pay today to buy this annuity? 96. Unfortunately, Angus does not have $1,317,828 today to buy the annuity. Instead she wishes to make monthly payments to fund the accumulation phase over the next five years, beginning one month from today and ending on the day of her retirement. What monthly payments does she need 13 Spring 2020 Pgtbt4ftvm_FNCE 3101_Assignment 1 TVM to make during the accumulation phase to fund that annuity purchase if the APR remains at 6.0%
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