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Rearranging the formula to solve for PMT, we get: PMT = PV / [(1 - (1 + r)^-n) / r] Substituting the given values into
Rearranging the formula to solve for PMT, we get: PMT = PV / [(1 - (1 + r)^-n) / r] Substituting the given values into the formula: PMT = $262,500 / [(1 - (1 + 0.16)^-10) / 0.16] After performing the calculations, we find that the annual net cash inflow (PMT) is approximately $42,789
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Contemporary Financial Management
Authors: R. Charles Moyer, James R. McGuigan, Ramesh P. Rao
13th edition
1285198840, 978-1285198842
