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URGENT Question 2. (30 points) Four deposits in actual dollars will be $15.000, $20.000, $25.000 and $30.000 in consecutive four years starting from year 1.
URGENT
Question 2. (30 points) Four deposits in actual dollars will be $15.000, $20.000, $25.000 and $30.000 in consecutive four years starting from year 1. Total saving will be withdrawn as 10 equal annual receipts starting from year 5. Find the amount of annual receipts in constant dollars if the general inflation rate is 6% per year and inflation-free interest rate is 8% per year. Question 2. (30 points) Four deposits in actual dollars will be $15.000, $20.000, $25.000 and $30.000 in consecutive four years starting from year 1. Total saving will be withdrawn as 10 equal annual receipts starting from year 5. Find the amount of annual receipts in constant dollars if the general inflation rate is 6% per year and inflation-free interest rate is 8% per yearStep by Step Solution
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