Someone offers to sell you an annuity for $6,036 in 5 years (i.e., you will buy it at t=5). The annuity pays $2300 per year, for n years, starting in year 6, and we assume a 7.0% discount rate. About how many payments are included in the annuity in this situation?

Answer rating: 100% (QA)

In the scenario described the annuity offered wouldnt provide any payments Heres why An annuity is t... View the full answer