How Much Would You Have to Invest Each Month in an Annuity

question 38

Short Answer

How much would you have to invest each month in an annuity earning 6% monthly to earn $50,000 at the end of 30 years?

---

Definitions:

Operant Conditioning

A behavioral adjustment technique in which the severity of an action is modified by using reinforcements or penalties.

Favorable Stimulus

Any external cue or event that elicits a positive reaction, often reinforcing a behavior or creating a pleasant experience.

Shaping

a method of training by which successive approximations toward a desired behavior are reinforced until the behavior is achieved.

Successive Approximations

A method used in behavioral psychology involving the reinforcement of behaviors that are increasingly similar to the desired behavior.