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Brad Funded a Life Annuity Through Installment Payments

Question 16

Multiple Choice

Brad funded a life annuity through installment payments.At age 60,he decided to elect an annuity settlement option and to begin to receive payments.Which of the following life income options will provide Brad with the highest monthly income?


A) life annuity (no refund)
B) life income with payments guaranteed for 5 years
C) life income with payments guaranteed for 10 years
D) installment refund annuity

Correct Answer:

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