=+a. Assuming an annual interest rate of 10%, what is the most that you would be willing
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=+a. Assuming an annual interest rate of 10%, what is the most that you would be willing to pay for this land? (Hint: Recall from our Chapter 3 exercises that the present discounted value of an annual stream of income of y is y/r where r is the annual interest rate.)
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Microeconomics An Intuitive Approach With Calculus
ISBN: 9781337335652,9781337027632
2nd Edition
Authors: Thomas Nechyba
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