Problem
1. Would you pay £3,500 for an annuity which guarantees to pay you £750 annually for the next 7 years if you can invest money elsewhere at 9%?
2. What would be a reasonable price to pay for a pension plan which guarantees to pay £200 a month for the next 2 years if you can earn 1.2% a month on your bank deposit account?
The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.