Given an interest rate of 5.3 percent per year, what is the value at date t =

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Given an interest rate of 5.3 percent per year, what is the value at date t = 7 of a perpetual stream of $6,400 payments that begins at date t = 15?

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Fundamentals of Corporate Finance

ISBN: 978-1260153590

12th edition

Authors: Stephen M. Ross, Randolph W Westerfield, Robert R. Dockson, Bradford D Jordan

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Question Posted: Jul 17, 2019 09:36 AM

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Given an interest rate of 5.3 percent per year, what is the value at date t =

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The time line is To find the value of the perpetuity at t 7 we first need to use the PV of ...View the full answer

Fundamentals of Corporate Finance

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