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Calculate the Annual Cash Flows of a $2 Million, 10-Year

Question 45

Multiple Choice

Calculate the annual cash flows of a $2 million, 10-year fixed-payment deferred annuity earning a guaranteed 8 percent per year if annual payments are to begin at the end of the sixth (6th) year.


A) $218,973.21.
B) $202,752.97.
C) $343,321.86.
D) $405,505.95.
E) $437,946.42.

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