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Q5 A. (20 Marks) In order to avoid estate taxes, your rich Uncle Tom will pay you $10,000 per year for 4 years, starting 1

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Q5 A. (20 Marks) In order to avoid estate taxes, your rich Uncle Tom will pay you $10,000 per year for 4 years, starting 1 year from now. What is the present value of your benefactor's planned gifts? The interest rate is 7%. How much will you have 4 years from now if you invest each gift at 7%? Show your workings and the formulas

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