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

question 19

Multiple Choice

How much would you have to invest each month in an annuity earning 5% monthly to earn $5000 at the end of 18 years?

• A) $14.32
• B) $36.05
• C) $39.82
• D) $40.26

---

Definitions:

Formal Relations

Social connections and interactions that are governed by officially established rules and structures.

Informal Relations

Interactions and connections between individuals or groups that are not governed by formal rules, structures, or procedures, often based on personal or community ties.

Keynesian Economics

An economic theory proposed by John Maynard Keynes, suggesting that government intervention through public policies can influence macroeconomic productivity and stabilize economies.

Neoliberalism

An ideology and policy model emphasizing free-market capitalism, deregulation, and reduction in government spending.