What is the maximum value of the handbag

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You want to buy a luxury handbag and pay for it with equal yearly payments for 8 years starting one year from today. If the relevant interest rate for this installment is 3.69% per annum and if the maximum amount you can afford to pay per year is RM5,000, what is the maximum value of the handbag that you can buy today?

Reference no: EM132622780

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