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Emerson developed a new style of camping trailer. He is considering a licensing agreement with Easy-Tow, who will manufacture the new trailer. They are proposing

Emerson developed a new style of camping trailer. He is considering a licensing agreement with Easy-Tow, who will manufacture the new trailer. They are proposing to pay him $30,000 now, and $10,000 at the beginning of each of the seven years of the licensing agreement, starting in two years. If interest is 3.35% compounded semi-annually, what is the agreement worth today?

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