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Your friend offers to pay you an annuity of $4,400 at the end of each year for 3 years in return for cash today. You

Your friend offers to pay you an annuity of $4,400 at the end of each year for 3 years in return for cash today. You could earn 5.5% on your money in other investments with equal risk. What is the most you should pay for the annuity?

Select the correct answer.

a. $11,851.51
b. $11,841.81
c. $11,832.11
d. $11,870.91
e. $11,861.21

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