You are paying a series of five constant-dollar (or real-dollar) uniform payments of $1944.66 beginning at the end of first year. Assume that the general inflation rate is 25.83% and the market interest rate is 25.83% during this inflationary period. The equivalent present worth of the project is:
Enter your answer as follows: 1234.56
Hint:
- Read the question carefully.
- What type of dollar that was given in the question?
- With the given dollar, what type of interest rate do you need to use?