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Your uncle is about to retire, and he wants to buy an annuity that will provide him with $80,000 of income a year for 20

Your uncle is about to retire, and he wants to buy an annuity that will provide him with $80,000 of income a year for 20 years, with the first payment coming immediately. The going rate on such annuities is 5.25%. How much would it cost him to buy the annuity today?

a. $997,167.07
b. $1,003,494.35
c. $976,177.81
d. $1,056,177.81
e. $1,027,427.14

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