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Q.1 . A rich aunt has promised you $5000 one year from today. In addition, each year after that, she has promised you a payment
Q.1.A rich aunt has promised you $5000 one year from today. In addition, each year after that, she has promised you a payment (on the anniversary of the last payment) that is 3% larger than the last payment. She will continue to show this generosity for 10 years, giving a total of 10 payments. If the interest rate in the market is 5%, what is her promise worth today?
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