How much would she have to pay for the annuity

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Reference no: EM131487851

A woman is planning on retiring soon. An option she has is to invest in her 401K savings into an annuity. She would like an income of $48,000 per year with the first payment starting a year from now. If she receives payments over 25 years, and the annual return on the annuity is 5%, how much would she have to pay for the annuity?

Reference no: EM131487851

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