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If the interest rates is 20%, what is the Present Value of a security that has a face value of $8640, maturing in 3 years,
If the interest rates is 20%, what is the Present Value of a security that has a face value of $8640, maturing in 3 years, and pays out $1800 a year from now, $2160 two years from now, and $2592, three years from now? The face value will be paid at the end of the maturity.
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