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Suppose you run an insurance company that sells annuities. A customer comes in who wants to buy an annuity that will provide a monthly payment

Suppose you run an insurance company that sells annuities. A customer comes in who wants to buy an annuity that will provide a monthly payment of $2000 for 20 years. The relevant annual interest rate is 6%.

How much will you charge for this annuity contract?

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