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The Knutson Corporation needs to save $19 million to retire a(n) $19 million mortgage that matures in 14 years. To retire this mortgage, the company
The Knutson Corporation needs to save $19 million to retire a(n) $19 million mortgage that matures in 14 years. To retire this mortgage, the company plans to put a fixed amount into an account at the end of each year for 14 years. The Knutson Corporation expects to earn 13 percent annually on the money in this account. What equal annual contribution must the firm make to this account to accumulate the $19 million by the end of 14 years?
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