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Suppose that a life insurance company has guaranteed a payment of $ 1 4 million to a pension fund 4 . 5 years from now.

Suppose that a life insurance company has guaranteed a payment of $14 million to a pension fund 4.5 years from now. If the life insurance company receives a premium of $10.4 million from the pension fund and can invest the entire premium for 4.5 years at an annual interest rate of 6.25%, will it have sufficient funds from this investment to meet the $14 million obligation?
A) $338,022.57
B)-$338,022.57
C)-$138,022.57
D) $138,022.57
C
A
B
D
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