What is the present value of a savings account that is expected to pay $1,025...
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What is the present value of a savings account that is expected to pay $1,025 at the end of year 2, and $1,050 at the end of 3rd year given the rate of returns 2.5% in the first year, 6.5% in the second year, and 10.5% in the third year (no cash flow at the end of year 1)? (3.5 points)
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