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Joseph Desires to Purchase an Annuity on January 1, 2010

question 55

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Joseph desires to purchase an annuity on January 1, 2010, that yields him five annual rents of $10, 000 each, with the first rent to be received on January 1, 2013.The interest rate is 10% compounded annually.The cost (present value) of the annuity on January 1, 2010, is


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