Question: A consulting engineer bought a fax machine with one year s free maintenance. In the second year the maintenance cost is estimated at $ 2

A consulting engineer bought a fax machine with one years free maintenance. In the second year the maintenance cost is estimated at $20. In subsequent years the maintenance cost will increase $20 per year (that is, third year maintenance will be $40, fourth year maintenance will be $60, and so forth). The amount that must be set aside now at 6% interest to pay the maintenance costs on the fax machine for the first six years of ownership is nearest to

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