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In a variable life annuity with 10-year period certain, a contract holder receives

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Final answer:

To have $10,000 in ten years with 10% interest compounded annually, you need to put approximately $3,174.13 into the bank account.

Step-by-step explanation:

To determine how much money you need to put into a bank account with 10% interest compounded annually to have $10,000 in ten years, you can use the formula for the future value of an annuity:

Future Value = P * (1 + r)^n

Where P is the initial deposit, r is the interest rate, and n is the number of years. In this case, the future value is $10,000, and the interest rate is 10%. Plugging these values into the formula, we get:

$10,000 = P * (1 + 0.10)^10

To solve for P, we can divide both sides of the equation by (1 + 0.10)^10:

P = $10,000 / (1 + 0.10)^10

Using a calculator, we can calculate that P is approximately $3,174.13.

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