Question

You just settled an insurance claim. The settlement calls for increasing payments over a 5-year period. The first payment will be paid one year from now in the amount of $30,000. The following payments will increase by 6 percent annually. What is the value of this settlement to you today if you can earn 8.5 percent on your investments? close to $126,408 close to $129,417 close to $132,023 close to $141,414

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