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Donna Purchased Property and Must Make an Annual Mortgage Payment

Question 15

Multiple Choice

Donna purchased property and must make an annual mortgage payment of $6,000 for the next 30 years. What is the present discounted value of the payment stream at a 5% interest rate?


A) $88,450.42
B) $110,682.21
C) $92,234.71
D) $105,320.57

Correct Answer:

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