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A local bank advertises the following deal: Pay us $ 1 0 0 at the end of each year for 1 2 years and then
A local bank advertises the following deal: "Pay us $ at the end of each year for years and then we will pay you or your beneficiaries $ at the end of each year forever."
aCalculate the present value of your payments to the bank if the interest rate is
Note: Do not round intermediate calculations. Round your answer to decimal places. bWhat is the present value of a $ perpetuity deferred for years if the interest rate is
Note: Do not round intermediate calculations. Round your answer to decimal places.
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