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Which of the following annuities would be the MOST expensive? Single premium str

ID: 2726930 • Letter: W

Question

Which of the following annuities would be the MOST expensive? Single premium straight life annuity Single premium joint and 2/3 survivor annuity Single premium joint and 2/3 sun/Ivor variable annuity Single premium joint and 80% survivor variable annuity Cannot be determined from the given information which or the following annuities would be the MOST expensive? If you had $1 million with which to purchase an annuity for your retirement. which of the following would give you the HIGHE3T monthly liquidation payment?

Explanation / Answer

Option D is correct.

The financial instruments with higher amount of guarantees costs higher.

The annuity in option D has following guarantees:

It has the highest amount of benefits, so it will cost the highest.

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