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You want to evaluate two different investment opportunities: Delta offers an annual interest rate of 10 %, but is compounded monthly. You need to make
You want to evaluate two different investment opportunities: Delta offers an annual interest rate of 10 %, but is compounded monthly. You need to make equal end-of-month $2,380 payments for 6-years. Sigma offers an annual interest rate of 12 %, compounded annually. You make a lump-sum investment now, and hold it for 6 years. How much money would you need to invest with Sigma, today, for it to be worth the same amount as Delta6 years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
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