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Wealthy Ms. Bolingbrook wants to provide her nephew with payments of $11,000 per year to supplement his income during the 39 years that she expects

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Wealthy Ms. Bolingbrook wants to provide her nephew with payments of $11,000 per year to supplement his income during the 39 years that she expects him to live in retirement. She wants the first payment to be made to him at the end of future year 17, when he will reach retirement age (thus the last payment will be made at the end of year 55). If the trust department at Morris State Bank can earn a 4.3% annual rate of return on money it manages, how much should Ms. Bolingbrook deposit there today to create the trust account her nephew will eventually draw from? (In other words: what is the present value of a deferred annuity of $11,000 to be received at the end of each of years 17 through 55 If the discount rate is 4.3% per year? [Your senior citizen instructor was especially careful on this one; there are no typos.] O A $99,800.59 OB. $105,177.83 C. $206,867.62 D. $109,700.48 E $100,841.64

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