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fredd [130]
3 years ago
15

You have a chance to buy an annuity that pays $2,450 at the beginning of each year for 3 years. You could earn 5.5% on your mone

y in other investments with equal risk. What is the most you should pay for the annuity?
Business
1 answer:
katen-ka-za [31]3 years ago
8 0

Answer:

$6,972.70

Explanation:

The computation of the annuity paying amount is shown below:

= Buying amount of annuity × annuity rate for 3 years at 5.5%

= $2,450 × 2.846

= $6,972.70

Refer to the annuity table

Simply we multiplied the buying amount with its annuity rate for 3 years at 5.5% so that the accurate amount can come i.e annuity paying amount

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3 years ago
Which answer is not a cost to the investor that is included in the calculation of an investment's interest rate
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Risk of a bad investment

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4 0
2 years ago
Unfortunately, Angie doesn't have enough money in her account right now. She needs to make additional contributions at the end o
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Explanation:

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