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your friend recently inherited some bonds (face value $100,000) from her father, and soon thereafter she became engaged to Sam Spade, a university of florida

your friend recently inherited some bonds (face value $100,000) from her father, and soon thereafter she became engaged to Sam Spade, a university of florida marketing graduate. sam wants your friend to cash in bonds so the two of them can use the money to "live like royalty" for three years in Monte Carlo. the 2 percent annual coupon bonds mature in exactly 20 years. interest on these bonds is paid annually on december 31 of each year, and new annual coupon bonds with similar risk and maturity are currently yielding 10 percent. if your friend sells her bonds now and puts the proceeds into an account which pays 5 percent compounded annually, what would be the largest equal annual amounts she could withdraw for three years, beginning today?
A. $31,891
B. $11,153
C. $11,710
D. $25,305

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