Assume That at Retirement You Have Accumulated $500,000 in a Variable

Multiple Choice

Assume that at retirement you have accumulated $500,000 in a variable annuity contract. The assumed investment return is 6%, and your life expectancy is 15 years. If the first year's actual investment return is 8%, what is the starting benefit payment?

A) $30,000.00
B) $33,333.33
C) $51,481.38
D) $52,452.73
E) The answer cannot be determined from the information provided.