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Suppose Kurt has an annuity that provides her with an annual benefit of $100,000 starting at age 65.Let's say that her annual benefit will increase

Suppose Kurt has an annuity that provides her with an annual benefit of $100,000 starting at age 65.Let's say that her annual benefit will increase by 3% per year. Calculate the dollar value (present value) ofonlythe cost-of-living adjustment (COLA).State any assumptions that you make in deriving your answer.

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