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An engineer will deposit $400 for 3 years in an account at the end of each year to buy a house in the future. In
An engineer will deposit $400 for 3 years in an account at the end of each year to buy a house in the future. In addition, starting in year 4, he will make an annual deposit in arrears of $500, which will increase by a fixed amount of $100 per year for the next 5 years and then terminate Consider an interest rate of 10% per annum compounded semi-annually. Determine the present value of all flows.
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