Multiple Choice
How much would you be willing to pay (rounded to the nearest dollar) for a 20-year annuity due if the payments are $4,500 per year and you want to earn a rate of return equal to 5.5% per year?
A) $84,500
B) $63,445
C) $56,734
D) $53,777
Correct Answer:
Verified
Correct Answer:
Verified
Related Questions
Q26: A bond matures in 20 years,at which
Q27: Your grandparents deposit $2,000 each year on
Q28: You are going to pay $800 into
Q29: What is the present value of an
Q30: You charged $1,000 on your credit card
Q32: You inherit $300,000 from your parents and
Q33: It is never appropriate to compare nominal
Q34: Your daughter is born today and you
Q35: If you put $10 in a savings
Q36: If you want to have $3,575 in