what is an annuity. and what features determine the amount of income associated with the annuity...
Homework Answers
ANNUITY
An annuity is a contract that pays a fixed income at set regular intervals for a specified period of time.
Features that determine amount of income associated with annuity would include:-
1. the number of years for payments,
2. Amount ofpayment to be made, and
3. life expectancy of annuitant.
Add Answer to:
what is an annuity. and what features determine the amount of
income associated with the annuity...
What is the dollar amount included in Tyson's gross income from the annuity? Please show me...
What is the dollar amount included in Tyson's gross income from
the annuity?
Please show me all of the calculations.
Tyson, a cash basis taxpayer, had the following cash inflows in 2020: Salary received.... Alimony received from ex-wife (divorced in 2020...... Child support received from ex-wife (divorced in 2020)... Interest income earned on bank savings account Lottery winnings received.... Trust income received as a beneficiary of the trust.. Annuity payout received..... $60,000 11,000 5,500 200 4,000 3,000 6,000 Tyson paid...
Use the ordinary annuity formula shown to the right to determine the accumulated amount in the...
Use the ordinary annuity formula shown to the right to determine the accumulated amount in the annuity if $20 is invested semiannually for 10 years at 4.0% compounded semiannually.
Determine the amount of the ordinary annuity at the end of the given period. (Round your...
Determine the amount of the ordinary annuity at the end of the given period. (Round your final answer to two decimal places.) $700 deposited semiannually at 6.2% for 8 years
Term Answer Description A. This is the fund available to the purchaser's beneficiaries. Single premium annuity...
Term Answer Description A. This is the fund available to the purchaser's beneficiaries. Single premium annuity contract Immediate annuity 0 This annuity's monthly income varies as a function of the insurer's actual investment experience. 0 C. Installment premium annuity contract The insurance company safeguards the principal and agrees to a minimum interest rate over the life of the contract. Survivorship benefit 0 Often purchased by individuals, this annuity allows periodic payments made over time. This type of contract allows cash...
Vinny purchased an annuity contract for $153,300 on April 30, 20X1. He is to receive $700...
Vinny purchased an annuity contract for $153,300 on April 30, 20X1. He is to receive $700 per month starting June 1, 20X1, and continuing for life. He has a life expectancy of 25 years. What is the amount of Vinny's annuity income that must be included in his gross income for 20X1? a. $3,577 b. $1,323 C. $6,132 d. $2,268 e. None of the above
mike purchased an annuity contract for $104,160 on February 28, 20X5. He is to receive $700...
mike purchased an annuity contract for $104,160 on February 28, 20X5. He is to receive $700 per month starting April 1, 20X5, and continuing for life. He has a life expectancy of 20 years. What is the amount of mike annuity income that must be included in his gross income for 20X5? a. $ 2,394 b. $ 3,192 c. $ 3,906 d. $ 5,208 e. None is correct
A. What are the key components that are used to determine the amount of federal income...
A. What are the key components that are used to determine the amount of federal income tax that an individual will pay in income tax? B. What is the difference between a tax deduction versus a tax credit? C. Can everyone use the tax tables? D. Are there limitations on deductions?
Vinny purchased an annuity contract for $153,300 on April 30, 20X1. He is to receive $700...
Vinny purchased an annuity contract for $153,300 on April 30, 20X1. He is to receive $700 per month starting June 1, 20X1, and continuing for life. He has a life expectancy of 25 years. What is the amount of Vinny's annuity income that must be included in his gross income for 20X1? a. $3,577 b. $1,323 C. $6,132 d. $2,268 e. None of the above Please explain
You have your choice of two investment accounts. Investment A is a 10-year annuity that features...
You have your choice of two investment accounts. Investment A is a 10-year annuity that features end-of-month $1,525 payments and has an interest rate of 7 percent compounded monthly. Investment B is an annually compounded lump-sum investment with an interest rate of 9 percent, also good for 10 years. How much money would you need to invest in B today for it to be worth as much as Investment A 10 years from now? (Do not round intermediate calculations and...
Calculator Exercise 4-26 (Algorithmic) (LO.4) taxpayer, age 64, purchases an annuity from an insurance company for...
Calculator Exercise 4-26 (Algorithmic) (LO.4) taxpayer, age 64, purchases an annuity from an insurance company for $82,000. She is to receive $683 per month for life. Her life expectancy 20.8 years from the annuity starting date. Assuming that she receives $8,200 this year, what is the exclusion percentage and how much is included in her gross income? Round the exclusion percentage to two decimal places. Round the final answer for the income to the nearest dollar. Exclusion percentage: Induded in...
What is the dollar amount included in Tyson's gross income from
the annuity?
Please show me all of the calculations.
Tyson, a cash basis taxpayer, had the following cash inflows in 2020: Salary received.... Alimony received from ex-wife (divorced in 2020...... Child support received from ex-wife (divorced in 2020)... Interest income earned on bank savings account Lottery winnings received.... Trust income received as a beneficiary of the trust.. Annuity payout received..... $60,000 11,000 5,500 200 4,000 3,000 6,000 Tyson paid...
Term Answer Description A. This is the fund available to the purchaser's beneficiaries. Single premium annuity contract Immediate annuity 0 This annuity's monthly income varies as a function of the insurer's actual investment experience. 0 C. Installment premium annuity contract The insurance company safeguards the principal and agrees to a minimum interest rate over the life of the contract. Survivorship benefit 0 Often purchased by individuals, this annuity allows periodic payments made over time. This type of contract allows cash...
You have your choice of two investment accounts. Investment A is a 10-year annuity that features end-of-month $1,525 payments and has an interest rate of 7 percent compounded monthly. Investment B is an annually compounded lump-sum investment with an interest rate of 9 percent, also good for 10 years. How much money would you need to invest in B today for it to be worth as much as Investment A 10 years from now? (Do not round intermediate calculations and...
Calculator Exercise 4-26 (Algorithmic) (LO.4) taxpayer, age 64, purchases an annuity from an insurance company for $82,000. She is to receive $683 per month for life. Her life expectancy 20.8 years from the annuity starting date. Assuming that she receives $8,200 this year, what is the exclusion percentage and how much is included in her gross income? Round the exclusion percentage to two decimal places. Round the final answer for the income to the nearest dollar. Exclusion percentage: Induded in...
Most questions answered within 3 hours.
-
20% of all customers subscribe to phone service.
70% of all customers subscribe to internet service....
asked 11 minutes ago -
Write a program to solve the Josephus problem, with the following
modification:
Sample Input:
./a.out n...
asked 2 hours ago -
At the start of a CD it is spinning at a rate of 525 rpm
(revolutions...
asked 3 hours ago -
4. Without doing any calculations, predict whether the observed
∆T would increase, decrease or remain the...
asked 4 hours ago -
Based on the range, which of the following sets of scores has
the greatest variability? 3,...
asked 5 hours ago -
Ripples in a pond travel at a velocity of 3 m/s with one peak
passing a...
asked 5 hours ago -
A man stands on the roof of a building of height 13.0 mm and
throws a...
asked 5 hours ago -
The extent to which assets are financed by borrowed funds and
other liabilities is indicated by:...
asked 6 hours ago -
Explain in detail
Germany is the fifth largest economy
explain what goods and services Germany specializes...
asked 7 hours ago -
The density of platinum is 21.45 g/mL. If a cube of platinum
with a mass of...
asked 7 hours ago -
Accounts Receivable
Sales
A/R Posting
Extended Sales Invoice
Packing Slip
Compare invoice to packing slip 2...
asked 7 hours ago -
Michaella, age 23, is a full-time law student and is claimed by
her parents as a...
asked 7 hours ago