An annuity offers a payment of $5000 at the beginning of every three months for twenty years. Interest is compounded

Question:

An annuity offers a payment of $5000 at the beginning of every three months for twenty years. Interest is compounded monthly at a nominal rate of 8.8%, and the first payment is deferred for 3 years. Determine the amount that you would pay for this annuity today.

Expert Answer:

Answer rating: 100% (QA)

the given information Payment amount 5000 Payment frequency Every three months Total payment period

View the full answer