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24 May, 03:52

Geoff purchased a life annuity for $4,800 that will provide him $100 monthly payments for as long as he lives. Based on IRS tables, Geoff's life expectancy is 240 months. How much of the first $100 payment will George include in his gross income?

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  1. 24 May, 06:54
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    Answer:George will receive $1200

    first $100 payment which will included in his gross income.

    Step-by-step explanation:

    His gross income will be $100 per months multiple by 12months which will be his first $100 payment.

    $100 * 12=$1200
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