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You have entered into an agreement to purchase a local accounting firm. The agreement specifies...

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Accounting

You have entered into an agreement to purchase a local accounting firm. The agreement specifies you will pay the seller $150,000 each year for six years. What is the cost today of the purchase, assuming a discount rate of (a) 8%, (b) 10%, or (c) 12%? (FV of $1, PV of $1, FVA of $1, and PVA of $1) (Use tables, Excel, or a financial calculator. Round your answers to 2 decimal places.)

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