Question: You are considering purchasing an annuity that would pay you $1,000 per year for 10 years. The interest rate is 5%. Out of the choices

You are considering purchasing an annuity that would pay you $1,000 per year for 10 years. The interest rate is 5%. Out of the choices below, what would be a reasonable price to pay for that annuity?

A: $10,000 B: $7,600 C: $8,200 D: $9,100

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