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You grandfather has retired with a pension that is worth $370,000. His life expectancy is 19...

You grandfather has retired with a pension that is worth $370,000. His life expectancy is 19 more years. If the pension payments are based on an assumed return of 8 percent per year, What will be your grandfather's annuity payment at the end of each year?

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Expert Solution

Ans:- we will use the PMT function of excel to find the answer.

Rate=8%, Nper=19, PV=-$370,000, FV=0

Therefore, the annuity payment at the end of each will be approx $38,527.22

jeff jeffy answered 2 years ago
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