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Don wants to accumulate $55,000 in today's dollar terms in the next 6 years. He expects to earn a return of 6.5% per year and

Don wants to accumulate $55,000 in today's dollar terms in the next 6 years. He expects to earn a return of 6.5% per year and inflation is expected to be 1.5%. How much should be the serial payment in the 3rd year so that Don can achieve the target?

$7071

$8598

$8727

$8471

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