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The Pocatello Pokeys have justhired a new team manager. The contract requires$24,300,000 be paid to the manager after she completes8 years of service. The team
The Pocatello Pokeys have justhired a new team manager. The contract requires$24,300,000 be paid to the manager after she completes8 years of service. The team wants to set aside an equal amount of money each year to cover this future payment. If the team earns 7 percent on their investments, how much must the team set aside each year? Assume they set aside the first payment at the end of the year.
A) $1,877,354.84
B) $2,302,504.83
C) $1,701,000.00
D) $2,297,412.63
E) $2,368,466.63
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