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s ini ths problem.)Peer prica Peter should he witling to pay for the compuner now? Click here to view Exhibil 8B-1 and Exhibil E8-2 to delerrmire the appropriste discoun actors sing lables. O $29175 O $25.095 O $25,585

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Answer #1

Answer:

Peter should be willing to pay for the computer Now = $29175

Working notes for the above answer is as under

Year

Cash
Flow

PV
Factor

Present
value

1

1

7500

0.917431

6881

2

7500

0.84168

6313

3

7500

0.772183

5791

4

7500

0.708425

5313

5

7500

0.649931

4874

29173

Peter should be willing to pay for the computer Now = $29175

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