Computation of present value of an investment

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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

Reference no: EM1312421

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