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The proceeds of a 150,000 death benefit are left on deposit with an insurance company for seven years at an effective annual interest rate of
The proceeds of a 150,000 death benefit are left on deposit with an insurance company for seven years at an effective annual interest rate of 4%. 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 rate of 2%. Calculate X.
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