You make 6 annual end-of-year payments of 12000 each on a, Financial Management

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You make 6 annual end-of-year payments of 12000 each on a

You make 6 annual end-of-year payments of $12,000 each on a loan with a market rate of 6%. If annual inflation is 4%, what would be the equivalent annual payment in constant dollars? A logical first step might be to compute the present value of the 6 loan payments.

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