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Simeon wants to invest an amount now that will have a total value of R10 000 after five years. The compounded interest rate of the investment is 12% per annum.
Required:
Calculate the amount that Simeon will have to invest today to receive R10 000 at the end of year five by using the mathematical formula. Show the mathematical formula and detailed workings. [Use four decimal places for your calculations and round your final answer to the nearest rand.]
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