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UPN Bank is offering a security that makes the following payments to its owner: $10,000 7 years from today and $20,000 9 years from today.
UPN Bank is offering a security that makes the following payments to its owner: $10,000 7 years from today and $20,000 9 years from today. The purchaser of the security will pay $3,000 today and the remaining amount one year from today. Find the remaining amount that the purchaser will have to pay one year from today if the interest rate is 8% p.a.
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