Question
You have a chance to buy an annuity that pays $16,000 at the beginning of each year for 5 years. You could earn 4.5% on
You have a chance to buy an annuity that pays $16,000 at the beginning of each year for 5 years. You could earn 4.5% on your money in other investments with equal risk. What is the most you should pay for the annuity?
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Analysis For Financial Management
Authors: Robert C Higgins
8th International Edition
0071257063, 9780071257060
