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Required information The following information applies to the questions displayed below.) Larry purchased an annuity from an insurance company that promises to pay him $4,000
Required information The following information applies to the questions displayed below.) Larry purchased an annuity from an insurance company that promises to pay him $4,000 per month for the rest of his life. Larry paid $525.600 for the annuity. Larry is in good health and is 72 years old. Larry received the first annuity payment of $4,000 this month. Use the expected number of payments in Exhibit 5-1 for this problem 13 a. How much of the first payment should Larry include in gross income? Amount to be included
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