Value of a retirement annuity
Personal Finance Problem
An insurance agent is trying to sell you an? immediate-retirement annuity, which for a single amount paid today will provide you with ? $7,100 at the end of each year for the next 35 years. You currently earn 5?% on? low-risk investments comparable to the retirement annuity. Ignoring? taxes, what is the most you would pay for this? annuity?