Require an effective annual return

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Reference no: EM131608005

Peter Lynchpin wants to sell you an investment contract that pays equal $12,500 amounts at the end of each year for the next 19 years.

If you require an effective annual return of 8 percent on this investment, how much will you pay for the contract today? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Value today $

Reference no: EM131608005

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