The present value of the payments and payouts

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Reference no: EM131968115

Julie agrees to invest in a project that will pay her 10,000 at the end of 5 years and 12,000 at the end of 7 years and 15,000 at the end of 9 years.

She will make a payment of X today and she will also make another payment of X three years from now.

The present value of the payments and payouts are equal if the annual effective rate is 8%.

Calculate X.

Reference no: EM131968115

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