What is the most you should pay for the annuity

Reference no: EM13293170

You just inherited some money, and a broker offers to sell you an annuity that pays $5,000 at the end of each year for 20 years. You could earn 5% on your money in other investments with equal risk. What is the most you should pay for the annuity?

Answer

$50,753

$53,424

$56,236

$59,195

$62,311

Reference no: EM13293170

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