Question 1: Explain how inflation or purchasing power impacts stated or nominal interest rates.
Question 2: Create a personal scenario that exemplifies the time value of money that includes the opportunity cost involved.
Question 3: Discuss the pros and cons of annuities when compared with other financial instruments and whether they provide a better investment opportunity for some people. Provide specific examples to support your response.
Question 4: Suggest a real-life example of how an annuity can be used for retirement planning.