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Krystyna has a long-term consulting contract with an insurance company that guarantees her $21000 per year...

Krystyna has a long-term consulting contract with an insurance company that guarantees her $21000 per year for five years. She believes inflation will be 3 percent this year and 5 percent next year, and then will stay at 10 percent indefinitely. Krystyna’s real MARR is 12 percent. What is the present worth of this contract?

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