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1400 1200 6K 1000 800 600 600 600 600 4K 4K 4K 0 1 2 3 4 5 6 7 8 9 10 o 1

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1400 1200 6K 1000 800 600 600 600 600 4K 4K 4K 0 1 2 3 4 5 6 7 8 9 10 o 1 N 5 6 6 3K 600 800 1000 1200 a) What is the value of K that makes the 2 cash flows equivalent? Assume i = 12% a year. b) What is the future value of the first cash flow if i = 12% per year, compounded semiannually

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