Question
Your friend offers to pay you an annuity of $6,100 at the end of each year for 3 years in return for cash today. You
Your friend offers to pay you an annuity of $6,100 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?
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Fundamentals Of Investing
Authors: Scott B. Smart, Lawrence J. Gitman, Michael D. Joehnk
13th Edition
978-0134083308, 013408330X
