Professor Charles Xavier wishes to set up an annuity to fund his retirement. The annuity will...

Transcribed Image Text:

Professor Charles Xavier wishes to set up an annuity to fund his retirement. The annuity will make payments of $55,000 at the end of each year for the next 20 years. To fund the annuity, he will deposit a lump sum into an account earning 5% compounded annually. Rounded to the nearest dollar, how much must he invest today in order to fund the annuity? $685,422 O $705,166 $685,201 O $664,692 Professor Charles Xavier wishes to set up an annuity to fund his retirement. The annuity will make payments of $55,000 at the end of each year for the next 20 years. To fund the annuity, he will deposit a lump sum into an account earning 5% compounded annually. Rounded to the nearest dollar, how much must he invest today in order to fund the annuity? $685,422 O $705,166 $685,201 O $664,692