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A perpetuity has a value today of $39,000. If the interest rate is 10%, the amount this perpetuity pays each year is: $2,340 $3,120 $3,900
A perpetuity has a value today of $39,000. If the interest rate is 10%, the amount this perpetuity pays each year is: $2,340 $3,120 $3,900 0 $1,950 An investment pays you $45,000 at the end of this year and $22,500 at the end of each of the next four following years. The present value of this investment given that the interest rate is 7.50% per year is: $135,000.00 $117,220.31 $96,290.07 $111,962.64 An investment pays you $45,000 at the end of this year and $22,500 at the end of each of the next four following years. The present value of this investment given that the interest rate is 7.50% per year is: $135,000.00 $117,220.31 $96,290.07 $111,962.64 The Lego Group is considering purchasing a large piece of land in New York for opening a new theme park. This land will cost the Lego Group $500,000 today. The Lego Group expects that each year it will be able to generate a net profit of $55,000. The theme park is expected to be open forever, and the market interest rate is 12%. The net benefit to the Lego Group of opening this new theme park in New York is: $41,667.67 $60,000 OOO -$60,000 -$41,667.67
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