What is the amount of the first payment

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An individual has a debt of $ 5,000 due in 3 years with interest charged at the rate of 5 % per annum compounded annually on this first debt and another debt of $ 10,000 due in 4 years with interest charged at 6 % per annum compounded annually on this second debt. She wants to pay off these debts by making 2 payments : the first payment now and the second payment, which is twice the first payment, in one year's time. If the effective annual interest rate for these payments is 8.33% per annum, what is the amount of the first payment? Give your answer to the nearest dollar.

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Reference no: EM132412229

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