Darla White has just purchased an annuity to begin payment at the end of 2019 (that is

Question:

Darla White has just purchased an annuity to begin payment at the end of 2019 (that is the date of the first payment) . Assume it is now the beginning of 2016. The annuity is for $12,000 per year and is designed to last 8 years. If the interest rate for this problem is 11 percent, what is the most she should have paid for the annuity?

Annuity
An annuity is a series of equal payment made at equal intervals during a period of time. In other words annuity is a contract between insurer and insurance company in which insurer make a lump-sum payment or a series of payment and, in return,...

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