kimcenter1999 kimcenter1999

23-11-2022
Mathematics

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Sam was injured in an accident, and the insurance company has offered him the choice of $45,000 per year for 15 years, with the first payment being made today, or a lump sum. If a fair return is 7.5%, how large must the lump sum be to leave him as well off financially as with the annuity?

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