2. (Cycles and annual worth o) Given a cash flow stream X = (xo, X1, X2, X),...

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2. (Cycles and annual worth o) Given a cash flow stream X = (xo, X1, X2, X), a new stream X of infinite length is made by successively repeating the corresponding finite stream. The interest rate is Let P and A be the present value and the annual worth, respectively, of stream X Finally. let Po be the present value of stream X terms of Pes and conclude that A can be used as well as P. for evaluation purposes. Find A in

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Investment Science

ISBN: 9780195391060

1st International Edition

Authors: David G. Luenberger

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