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The cost of utilities, taxes and maintenance on a home is $3,000 per year. The amount of money that would have to be invested now at 8% to cover these expenses for the next 5 years is most likely: (Assume no inflation or tax increase).
Solution:
By using the Factor Tables
$3,000 (P/A, 8%, 5) = $3,000 x 3.9927 = $11,978.10
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