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Scheduled payments of $1394 due one year ago and $1172 due in six years are to be replaced by two equal payments. The first replacement
Scheduled payments of
$1394
due
one
year
ago and
$1172
due in
six
years are to be replaced by two equal payments. The first replacement payment is due in
three
years
and the second payment is due in
seven
years. Determine the size of the two replacement payments if interest is
2.9%
compounded
quarterly
and the focal date is
three
years
from now.
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