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Write a five page paper (1500 or more words) in APA format in response to questions below.
A .The family paid the land owners $350/month for rent.
How much money could the land owner have made if they took the $350 rent payment and placed it into an annuity paying 2% over the entire lifetime of the rental?
Do you think it would have been worthwhile? Why or why not? Also, be sure to explain which kind of annuity you chose and why.
b. Would you consider building a portfolio of restaurants and then dedicating a portion of the overall rent to an annuity? What would you do with the profits upon retiring? Do you think you would have a decent retirement account? Why or why not
Verified Expert
Annuity is defined as the fixed sum of money paid to someone every year, typically for the rest of their life. if they took the $350 rent payment and placed it into an annuity paying 2% over the entire lifetime of the rental, then the yearly payout for 30 years will be $15.63
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