Jon is to receive 10 annual payments where the first payment of 10,000 will be paid in one ye Payments in years 2-10 will increase by an annual rate of 5%. The present value of these payments using an annual effective interest rate of 8% is X. Calculate X. A 78,380 B с D E 81,836 85,928 88,382 183,200

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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Jon is to receive 10 annual payments where the first payment of 10,000 will be paid in one year.
Payments in years 2-10 will increase by an annual rate of 5%.
The present value of these payments using an annual effective interest rate of 8% is X.
Calculate X.
A 78,380
B
с
D
E
81,836
85,928
88,382
183,200
Transcribed Image Text:Jon is to receive 10 annual payments where the first payment of 10,000 will be paid in one year. Payments in years 2-10 will increase by an annual rate of 5%. The present value of these payments using an annual effective interest rate of 8% is X. Calculate X. A 78,380 B с D E 81,836 85,928 88,382 183,200
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