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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 $22,000 now, and $11,000 at the beginning of each of the 5 years of the licensing agreement, starting in 1 year. If interest is 5.85% compounded quarterly, what is the agreement worth today?

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