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One of your clients has asked your advice on the best way to accept payment on a sale. The client has been offered $170,000 immediately
One of your clients has asked your advice on the best way to accept payment on a sale. The client has been offered $170,000 immediately or $28,000 per year for ten years with the first payment due immediately. The appropriate interest rate is 10%. Present value factors for the present value of an ordinary annuity of $1 per period are shown below. 9 per., 10%, 5.75902 10 per., 10%, 6.14457 11 per., 10%, 6.49506 the calculation for the present value of the $28,000 annuity is: a. $28,000 X 6.14457 b.$28,000 X (5.75902+6.14457)/2 c.$28,000 X (6.14457+6.49506)/2 d. $28,000 X (1.0+5.75902) please show work
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