Question
A rich aunt has promised you $ 1,000 one year from today. In addition, each year after that, she has promised you a payment (on
A rich aunt has promised you $ 1,000 one year from today. In addition, each year after that, she has promised you a payment (on the anniversary of the last payment) that is 7 % larger than the last payment. She will continue to show this generosity for 20 years, giving a total of 20 payments. If the interest rate is 7 %, what is her promise worth today?
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Financial Management Of Health Care Organizations
Authors: William N. Zelman, Michael J. McCue, Noah D. Glick, Marci S. Thomas
5th Edition
1119553849, 9781119553847
