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The bank would like to set up a reserve fund. If the fund earns an effective annual rate of 6%. How much the bank need
The bank would like to set up a reserve fund. If the fund earns an effective annual rate of 6%. How much the bank need in the fund today if the fund pays an amount of $10,000 today and grows by 3% per annum for an infinite period?
Select one:
a. $353,333.33
b. $298,562.63
c. $333,333.33
d. $412.589.72
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