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You bought an investment that pays 1,400 each year for 12 years, starting in year 5. The interest rate for investments of this type was
You bought an investment that pays 1,400 each year for 12 years, starting in year 5. The interest rate for investments of this type was 6 percent. Required: (i) Calculate how much would this investment have cost you. (ii) Three years have passed. The rate required by investors is now 8 percent. What is this investment now worth
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