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The manager of Steve's Audio is offering Daisy two options. She has approved Daisy's application for 24 months of credit with monthly payments of $45
The manager of Steve's Audio is offering Daisy two options. She has approved Daisy's application for 24 months of credit with monthly payments of $45 at an interest rate of 1.6 percent per month. The other option is for Daisy to pay a lump sum at the end of 24 months. At what amount of this this lump sum, would Daisy be indifferent between the two options?
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