How much interest did juan receive from the annuity


Problem

Juan purchases a retirement annuity that will pay him $1,500 at the end of every six months for the first ten years and $300 at the end of every month for the next six years. The annuity earns interest at a rate of 3% compounded quarterly.

i. What was the purchase price of the annuity?
ii. How much interest did Juan receive from the annuity?

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Financial Accounting: How much interest did juan receive from the annuity
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