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Consider the following linear programming model:
This linear programming model has:
Present Value
The immediate worth of a future lump sum or successive cash inflows, considering a specific return rate.
Future Sum
The projected amount of money or value at a specific future date, usually factoring in variables such as interest rates and time periods.
Loan
A sum of money borrowed by one party from another, subject to repayment of the principal amount with interest.
Amortized
The process of gradually writing off the initial cost of an asset over a period.
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