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e. Assume that the average price of a new home is $158,500. If the cost of a new home is increasing at a rate of

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e. Assume that the average price of a new home is $158,500. If the cost of a new home is increasing at a rate of 10% per year, how much will a new home cost in eight years? Note: Round your answer to 2 decimal places. f. An investment will pay you $10,000 in 10 years, and it also will pay you $400 ot the end of each of the next 10 years fyears 1 through 10). If the annual interest rate is 6%, how much would you be willing to pay today for this type of investment? Note: Round your answer to nearest whole dollar. g. A college student is reported in the newspaper as having won $10,000,000 in the Kansas State Lottery. However, as is often the custom with lotteries, she does not actually receive the entire $10 million now. Instead she will receive $500,000 at the end of the year for each of the next 20 years. If the annual interest rate is 6%, what is the present value (todoy's amount) that she won? (fgnore taxes.)

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