1. Larry purchased an annuity from an insurance company that promises to pay him $220 per month for the rest of his life. Larry purchased the annuity and paid $37,000 for the policy. He is 62 and in good health, and received his first monthly payment on August 1st 2017. How much must Larry include in his 2017 income?
2. Amanda, an American college student, works for a Swiss Insurance Company in Geneva for 6 weeks as a guest worker. For this work, she is paid $6000.
This is recorded on the U.S Balance of payment as _________, and on the Swiss Balance of payment as ___________.
A) Income: debit / Income : Credit
B) Current transfer: Credit/ Current transfer:Debit
C) Service: Credit/ Service: Debit
D) Income: Credit/ Income: Debit