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A Contract Requires Payments of $1,000, $2,000, and $3,000 in 90

Question 125

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A contract requires payments of $1,000, $2,000, and $3,000 in 90, 120, and 150 days respectively, from today. What is the value of the contract today if the payments are discounted to yield a 6% simple interest rate of return?

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