Amy plans to spend 2800000 to purchase an annuity from the BC Investment Fund
Calculate the amount that she will receive from the annuity given that the annuity from the BC Investment Fund had the following features:
-after paying the fund a fee of $10,000 for their professional services.
- Monthly payments at the end of each month.
- Total term of 8 years - Residual value of annuity (at end of the total term) equal to 50% of the purchase price
- Nominal rate of return provided by annuity of 8% p.a. compounded monthly.