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A contract will guarantee you $25,000 per year for the next 5 years. The inflation rate is expected to be 3% this year and 5%

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A contract will guarantee you $25,000 per year for the next 5 years. The inflation rate is expected to be 3% this year and 5% next year and then will stay at 10% indefinitely. Your real MARR is 12%. What is the present worth of this contract

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