What present value or price should someone pay

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Reference no: EM13974503

An annuity due makes 9 annual payments of $425 each. What present value or price should someone pay for this stream at time point zero if they seek to earn an annual return of 5.5%?

A. $3,362.43

B. $3,315.22

C. $2,954.68

D. $3,046.18

E. None of the above

Reference no: EM13974503

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