Investment Option With Insurance Company


Eternity Insurance set up a trust for you that pays you or your heirs $100 per year at the end of each year forever. If the discount rate for this cash flow is 13%, what is the amount that you would be willing to pay Eternity Insurance for this investment?


A. $1,000.00

B. 869.23

C. 769.23

D. 100.00



The question belongs to Finance and it discusses about an investment with an insurance policy and the amount to be paid for a plan that pays a certain amount forever.

Total Word Count 51

Download Full Solution


  • HWA

    this is a very good website

  • HWA

    I have 50 questions for the same test your page is showing only 28

  • HWA

    hi can you please help or guide me to answer my assignments. thanks

  • HWA

    hi can anyone help or guide me to my assignments. thanks

  • HWA

  • HWA

    This solution is perfect ...thanks

  • HWA

    Hello Allison,I love the 2nd image that you did! I also, had never heard of SumoPaint, is something that I will have to exolpre a bit! I understand completely the 52 (or so) youtube videos that you probably watched. Sometimes they have what you want, sometimes they don't! However, it is always satisfying when you are able to produce something that you have taught yourself. Great job!Debra 0 likes

  • HWA

    Perfect bank of solution. 

  • HWA

    great !

  • HWA
    Paul Brandon-Fritzius

    thanks for the quick response. the solution looks good. :)

  • HWA
    tina Johnson

    thnx for the answer. it was perfect. just the way i wanted it. 

  • HWA

    works fine.