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Saxon & Sons took out a loan for specialized manufacturing equipment requiring 11 large loan payments in the future. The company will make the first
Saxon & Sons took out a loan for specialized manufacturing equipment requiring 11 large loan payments in the future. The company will make the first loan payment of $18629 at the end of year 10, with each subsequent payment decreasing by 11%. The company would like to save for these large loan payments by making 9 equal deposits at the end of each year (beginning in year 1). What amount must the company deposit each year in order to make the future loan payments? Assume an interest rate of 6% compounded annually. Note: The first loan payment will be made at the end of year 10. The company will make a total of 11 loan payments. The first deposit will be made at the end of year 1. The company will make a total of 9 deposits. Enter your answer as follows: 1234 Round your answer. Do not use a dollar sign ("$"), any commas ("") or a decimal point (".")
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