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Smith receives $400 in 1 year, $800 in 2 years, $1,200 in 3 years and so on until the final payment of $4,000. Using an
Smith receives $400 in 1 year, $800 in 2 years, $1,200 in 3 years and so on until the final payment of $4,000. Using an effective interest rate of 6%, determine the present value of these payments at time 0.
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