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3 Growing Perpetuity (and selling price) Carrie grandfather owns a farm. The farm earned $410,000 this year. The profits are expected to grow at

3 Growing Perpetuity (and selling price) Carrie grandfather owns a farm. The farm earned $410,000 this year. The profits are expected to grow at 5.5% per year forever. What is the value of the farm if the discount rate is 12% ? 630769.23 What is the expected selling price of the farm next year? How much did the farm appreciate (as a percent)? % D

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