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Suppose you just bought a 20-year annuity of 7500 per year

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Suppose you just bought a 20-year annuity of $7,500 per year at the current interest rate of 10 percent per year. What is the value of your annuity today? What happens to the value of your investment if interest rates suddenly drop to 5 percent?

Reference no: EM13619871

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Suppose you just bought a 20-year annuity of 7500 per year : suppose you just bought a 20-year annuity of 7500 per year at the current interest rate of 10 percent per year. what
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