7. You are negotiating to buy a small business. The seller assures you that the annualprofits will...
Fantastic news! We've Found the answer you've been seeking!
Question:
7.You are negotiating to buy a small business. The seller assures you that the annualprofits will be stable forever at $15,000, and that they have a present discounted valueof $750,000, which is his asking price for the business.
Calculate the discount rate he must be using. Show your work.
Posted Date: