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Carey owns a parking lot: net income next year would be $200,000 and she expects that net income will increase indefinitely by 5% each year. Someone has expressed an interest in buying the parking lot, and offered to make a fixed payment at the end of each year for the next 10 years. If the discount rate is 10%, what would be the annual payment made to Carey? (show steps and if you can provide how it is done on financial calculator)

Financial Management, Finance

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