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3. Alila buys a car from Kia Motors hire purchase paying seven annual instalments of OMR 1,200, the first being an immediate cash deposit. Assuming

3. Alila buys a car from Kia Motors hire purchase paying seven annual instalments of OMR 1,200, the first being an immediate cash deposit. Assuming an interest rate of 8 per cent is being charged by the Kia Motors hire purchase, how much is the current cash price of the car?

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