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Jones Stoneware has a liability of $75,000 due four years from today. The company is planning to make an initial deposit today into a savings
Jones Stoneware has a liability of $75,000 due four years from today. The company is planning to make an initial deposit today into a savings account and then deposit an additional $10,000 at the end of each of the next four years. The account pays interest of 8 percent. How much does the firm need to deposit today for its savings to be sufficient to pay this debt?
A. $28,016
B. $24,469
C. $30,218
D. $26,400
E. $22,006
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