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How much must be invested each year

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Question - Corp has a new manager. The compensation agreement calls for a single payment of $25,700,000 be paid after the first 6 years of work. Corp wants to invest an equal amount each year to pay for this future obligation. The interest rate on investment is 5 %. How much must be invested each year?

A. $1,425,255.21

B. $3,778,348.93

C. $3,699,948.19

D. $3,695,225.25

E. $1,285,000.00

Reference no: EM133102973

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