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As a result of a slowdown in operations, Mercantile Stores is offering to employees who...

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Accounting

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As a result of a slowdown in operations, Mercantile Stores is offering to employees who have been terminated a severance package of $210,000 cash, another $210,000 to be paid in one year, and an annuity of $41,000 to be paid each year for 10 years. Use present value tables to compute the present value of the complete package, assuming an interest rate of 6 percent. (Future Value of $1. Present Value of $1. Future Value Annuity of $1. Present Value Annuity of $1) (Use appropriate factor(s) from the tables provided. Round "Present Value" to nearest whole dollar amount.) Table values based on n Cash Payment Present value of $210,000 face value Present value of $41,000 annuity Total % %

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