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1) Consider the following cash flow problem of the diagram shown below. You are basically investing $P in ABC stock, with a promised 8% annual

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1) Consider the following cash flow problem of the diagram shown below. You are basically investing $P in ABC stock, with a promised 8% annual rate of return. Determine the amount of the investment capital, if you are to be paid off in the next couple of years with the following pattern (Verify your results with the interest table) $1600 $200' 0 5 P

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