Question: How much will it cost to purchase a 20-year indexed annuity in which the end-of-quarter payments start at $5000 and grow by 0.5% every quarter?

How much will it cost to purchase a 20-year indexed annuity in which the end-of-quarter payments start at $5000 and grow by 0.5% every quarter? Assume that the money used to purchase the annuity earns 6% compounded quarterly.

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