Question: Problem 5: You have become very interested in investing. You purchase an annuity for $18,000 today. The annuity will pay you $2,750 every year for

Problem 5: You have become very interested in investing. You purchase

Problem 5: You have become very interested in investing. You purchase an annuity for $18,000 today. The annuity will pay you $2,750 every year for the next 15 years. You want a real return of 5.5%. You estimate inflation to be 6.2% over the next 12 years. Should you invest in the annuity? You must provide evidence for your claim. Problem 5: You have become very interested in investing. You purchase an annuity for $18,000 today. The annuity will pay you $2,750 every year for the next 15 years. You want a real return of 5.5%. You estimate inflation to be 6.2% over the next 12 years. Should you invest in the annuity? You must provide evidence for your claim

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