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2. You have savings amounting to $1,200 (CF0) and you expect to save an additional $800 next year. You need your savings to pay for
2. You have savings amounting to $1,200 (CF0) and you expect to save an additional $800 next year. You need your savings to pay for your tuition fees of $800 in 2 years and $1,000 in 3 years. What is the value of this cash flow today if your savings will earn 6%?
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