which will be constructed in exactly 10 years.(single payment 10 years from today). The expected inflation rate is 3% per year and the city can invest funds at 6% per

which will be constructed in exactly 10 years.(single payment 10 years from today). The expected inflation rate is 3% per year and the city can invest funds at 6% per year. The cost of the landfill is $10,000,000 in today’s dollars. The city wants to fund the landfill by depositing a certain amount one year from now and increasing this by the inflation rate(3%) each payment. is the amount of the initial payment into the fund at the end of the first year.