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1)An insurance agent is offering you the following additional retirement plan. You will get $7,500 every year for 4 years (beginning in a year from
1)An insurance agent is offering you the following additional retirement plan. You will get $7,500 every year for 4 years (beginning in a year from today at t = 1). After this period, your annual payment will grow for 6 years at a rate of 1% per year (ends at t = 10). If the discount rate is 4%, the fair price to pay for this plan today is approximately:
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