Assume an applicable interest rate

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Suppose you have sold your rare Babe Ruth rookie card for $185,000. The dealer you sold it to gave you $100,000 today and signed a contract to pay you the remaining $85,000 in increments of $5,000 monthly, starting at the end of the current month. What is the current value he paid you if you assume an applicable interest rate of 7.5%, compounded monthly?

Reference no: EM131194678

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