You are just retired, You pension company promised you that they will pay you $25,000 a year

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You are just retired, You pension company promised you that they will pay you $25,000 a year for 30 years. The first payment you will receive is a year from now. The market interest rate is 5% per year.

What is the present value of you pension if the payment you receive will be the same for 30 years?

Related Book For answer-question

Financial Accounting and Reporting a Global Perspective

ISBN: 978-1408076866

4th edition

Authors: Michel Lebas, Herve Stolowy, Yuan Ding

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Posted Date: Nov 25, 2023 06:45 AM

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You are just retired, You pension company promised you that they will pay you $25,000 a year

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The present value of an annuity is the sum of the present values of each individual payment The ... View the full answer

Financial Accounting and Reporting a Global Perspective

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