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125000\times \left(\frac{103}{100}\right)^{2}
Add 1 and \frac{3}{100} to get \frac{103}{100}.
125000\times \frac{10609}{10000}
Calculate \frac{103}{100} to the power of 2 and get \frac{10609}{10000}.
\frac{265225}{2}
Multiply 125000 and \frac{10609}{10000} to get \frac{265225}{2}.