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You have the opportunity to buy 6 end-of-year annual shipments of raw materials worth $20,000 each for your production facility. You must make the purchase today to begin receiving these shipments 365 days from today. Your vendor tells you that you will receive 10% annual interest on your money if you purchase the shipments today. What is the maximum lump sum payment you are willing to make today to buy these six future annual shipments?

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M9874502

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