Today Is Your 30^th Birthday and You Must Choose Between

question 116

Essay

Today is your 30^th birthday and you must choose between two retirement options.The first option will provide you with 10 equal annual payments of $100,000 beginning on your 65^th birthday.The second option will provide you with one payment of $1,000,000 on your 70^th birthday.If the interest rate is 6 percent per year and you are assured of living to at least 80 years of age,which option is better?

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Definitions:

Digital Life Style

A way of living that is heavily influenced by the use and availability of digital devices, platforms, and technologies.

Value

The importance a person attaches to something; values are also tied to the enduring belief that one’s mode of conduct is better than another mode of conduct.

Pragmatist Values

A set of beliefs that prioritize practicality and efficiency in solving problems and making decisions, often with a focus on results over abstract principles.

Tangible Accomplishments

Achievements or results that are concrete and can be seen or measured, often providing a sense of satisfaction.