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Present values of two future streams of property taxes

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Poe Dameron and Maz Kanata own identical houses in the same neighbourhood. The only difference between the two is that Poe's house is subject to an annual property tax payment that is by $500 higher than Maz's. Assume that the relevant discount rate is 2.5%. What is the difference between the present values of the two future streams of property taxes?

Reference no: EM133559513

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