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Your business has a large amount of debt, on which it pays an annual yield of 10%. Your business is scheduled to receive a payment
Your business has a large amount of debt, on which it pays an annual yield of 10%. Your business is scheduled to receive a payment of $100,000 in 30 months, and an additional $45,000 24 months after that (= 4.5 years from now). What is the present value of this future payment schedule? (In other words, what is the present value of the two payments combined?) Round to the nearest dollar
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