Use the formula for the present value of an ordinary annuity or the amortization formula to solve the following problem. PV = $12,000; PMT= $500; n = 40; i = ? (Type an integer or decimal rounded to three decimal places as needed.) American General offers a 14-year annuity with a guaranteed rate of 8.25% compounded annually. How much should a customer pay for this annuity? (Round to the nearest cent.) annually. How much should you pay for one of these annuities if you want to receive payments of S1500 annually over the 14 year period