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4. (10 points) A perpetuity has semi-annual payments with the first occur- ring six months from today. The present value of the perpetuity is calculated

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4. (10 points) A perpetuity has semi-annual payments with the first occur- ring six months from today. The present value of the perpetuity is calculated based on a nominal rate of 10% convertible semi-annually. The first year's pay- ments are 1. Each successive year's payments is 10% greater than the preceding year's. Calculate the present value of the perpetuity

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