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This work is licensed under a Creative Commons Attribution-NonCommercial-NoDerivs 3.0 Unported License. math exams: Question FM 11/21/2011 02:22

Monday, November 21, 2011

Question FM 11/21/2011 02:22

Lina receives $\$200$ in 1 year, $\$250$ in 2 years, $\$300$ in 3 years, and so on until the final payment of $\$700$. Using an annual effective rate of interest of $4\%$. Find the present value of these payments at time 0.

Ans:$50.(Ia)_{\bar{11}}+150.a_{\bar{11}}$

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