The annual effective interest rate is 4 determine the


A 20 year annuity certain provides payments of $200 at time 1 year, $180 at time 2 years, $160 at time 3 years, and so on until the payments have been reduced to $60. Payments then continue at $60 per year until the 20th payment has been made. The annual effective interest rate is 4%. Determine the present value of this annuity.

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Financial Management: The annual effective interest rate is 4 determine the
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