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You tried to sneak a cappuccino into the movie theatre. It spilled on your leg and scalded you. Your lawyer says that you can expect

You tried to sneak a cappuccino into the movie theatre. It spilled on your leg and scalded you. Your lawyer says that you can expect a payout from the coffee shop's insurance company of

10,000$

per year for

10

years. The only catch is that the first payment won't happen until the court case is over in

2 years. What is the present value of your settlement as of today? Assume an interest rate of

3.2%

(how do you solve this with the present value of an annuity formula)

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