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In return for a promise to be paid $500 at the end of 10 years, John agrees to pay $100 now, $200 at the end
In return for a promise to be paid $500 at the end of 10 years, John agrees to pay $100 now, $200 at the end of 5 years and the remainder at the end of 12 years. If = 3% annual and effective, what should the remaining payment be? Answer: $ 141.90
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