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The proceeds of $100 000 death benefit are left on deposit with an insurance company for seven years at an annual effective interest rate of
The proceeds of $100 000 death benefit are left on deposit with an insurance company for seven years at an annual effective interest rate of 5%. The balance at the end of seven years is paid to the beneficiary in 120 equal monthly payments of X, with the first payment made immediately. During the payout period, interest is credited at an annual effective interest rate of 3%. Calculate X. Ans; $1352.74
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