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Computation of present value of an investment
You are scheduled to receive annual payments of $10,000 for each of the next 25 years. Your discount rate is 8.5%. What is the difference in the present value if you receive these payments at the beginning of each year rather than at the end of each year?
A. $8,699
B. $9,217
C. $9,706
D. $10,000
E. $10,850
DESCRIBE how you have arrived at the calculations AND provide a summary table of them
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