Andrew Smith is 60 years of age and has a life expectancy of 20 more years. He wishes to invest $40,000 in an annuity that will make a level payment at the end of each year until his death. If the interest rate is 10%, what income can Mr. Smith expect to receive each year?

Answer rating: 100% (QA)

To calculate the annual income Mr Smith can expect fro... View the full answer