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3) Student A receives payments at the start of each of the next 20 years. The first payment is $400, which is paid now.

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3) Student A receives payments at the start of each of the next 20 years. The first payment is $400, which is paid now. The payments from then on increase at a rate of 15% each year. Using an effective interest rate of 30%, find the present value of these payments at time 0.

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