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A contract requires lease payments of $900 at the beginning of every month for 6 years. a. What is the present value of the contract

A contract requires lease payments of $900 at the beginning of every month for 6 years.

a. What is the present value of the contract if the lease rate is 3.75% compounded annually? (Round to the nearest cent)

b. What is the present value of the contract if the lease rate is 3.75% compounded monthly? (Round to the nearest cent)

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