5. Gwen and David split an inheritance. The inheritance consists of 2n e: rear payments of X. Gwen will receive the first set of n payments, and Dav 1 receive the second set of n payments. If the present value of the inheritan calculated under an annual effective interest rate of 9%, the proportion present value going to David is 0.262 283 745 7. If the present value of t eritance is calculated under an annual effective interest rate of 4%, wh portion of the present value goes to Gwen?
5. Gwen and David split an inheritance. The inheritance consists of 2n e: rear payments of X. Gwen will receive the first set of n payments, and Dav 1 receive the second set of n payments. If the present value of the inheritan calculated under an annual effective interest rate of 9%, the proportion present value going to David is 0.262 283 745 7. If the present value of t eritance is calculated under an annual effective interest rate of 4%, wh portion of the present value goes to Gwen?
Chapter10: Deductions And Losses: Certain Itemized Deductions
Section: Chapter Questions
Problem 16CE
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![5. Gwen and David split an inheritance. The inheritance consists of 2n end
of year payments of X. Gwen will receive the first set of n payments, and David
will receive the second set of n payments. If the present value of the inheritance
is calculated under an annual effective interest rate of 9%, the proportion of
the present value going to David is 0.262 283 745 7. If the present value of the
inheritance is calculated under an annual effective interest rate of 4%, what
proportion of the present value goes to Gwen?](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F43cbc7b7-d47a-4a7b-8177-306aacb98ab6%2F18fd1448-9728-4d90-8ad5-5205170099c2%2Fsliq9s7_processed.png&w=3840&q=75)
Transcribed Image Text:5. Gwen and David split an inheritance. The inheritance consists of 2n end
of year payments of X. Gwen will receive the first set of n payments, and David
will receive the second set of n payments. If the present value of the inheritance
is calculated under an annual effective interest rate of 9%, the proportion of
the present value going to David is 0.262 283 745 7. If the present value of the
inheritance is calculated under an annual effective interest rate of 4%, what
proportion of the present value goes to Gwen?
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