How much would the company have to invest now at interest

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Reference no: EM13146829

A US automaker plans to build two more plants in China as it aims to harness continued growth in Asia. The company estimates that it must make annual investments of $40 million over 8-years period. How much would the company have to invest now at interest rate 3% per year to sufficiently provide for the annual payments, if the first payment will begin 4 years from now?

Reference no: EM13146829

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