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Show all work. The answer must include PAINFG and the cash flow diagrams. P = Present value (this value is not used in this problem)
Show all work.
The answer must include PAINFG and the cash flow diagrams.
P = Present value (this value is not used in this problem) A = Annuity; this is the value that is given in this problem i = Effective interest rate n = Number of payments F = Future value; this is the value that we want to find in this problem (F = ?) G = Gradient value (this value is not used in this problem)
- If Alex buys a new RV and uses his annual tax return to pay for it, how much does he need his take return to be if the new RV is $150,000, he owns it for 20 years, and sells it to Eva for $20,000 at the end of 20 years? Assume a loan of 6% per year.
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