Yaeger skipped this part in his Cram lecture.  First page of Module 33, "Annuities and pensions are excluded to the extent they represent a return of capital." And then it gives a ratio which i don't understand.  I think there may be a typo in the Wiley book.  Shouldn't the equal sign be the multiplication sign? This is wiley's equation:

Net cost of annuity/ Expected total annuity payment = payments received

Don't you multiply net cost of annuity/expected total annuity payments times the payment received?