How much will the bank pay you now for the trust fund

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Reference no: EM131297685

You have a trust fund that will pay you $11139 per year for 20 years starting 8 years from now.

You would like to have the money now. You can sell the trust to a bank who will pay you a lump sum now. If interest rates are 4.2% (compounded annually), how much will the bank pay you now for the trust fund?

Reference no: EM131297685

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