Years and opportunity cost of capital

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A financial planner has suggested you invest in a new insurance product he is selling that will pay you $20,000 a year for twenty years once you retire. If you plan to retire in 10 years and your opportunity cost of capital is a constant 6% a year, what is the most you should pay today for this investment? Assume you will receive your first payment at the end of 10 years and round your answer to the nearest dollar.

Reference no: EM132056965

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