Walt is evaluating an in vestment that will provide fhe fo llowing returns at the end of each of the following years: yea r I, $ 12,500; year 2, S I 0,000; year 3, 57,500; year 4, S5,000; year 5, 52.500;

year 6. $0; and year 7, $ 12,500. Walt believes that he should earn an annual rate of9 percent on this investment, compounded monthly. How much should he pay for this investment?

AppendixLO1