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A perpetuity has the following payments: (I) Level payments of $1 at the end of each year for the first 2n years. (II) Level payments
A perpetuity has the following payments: (I) Level payments of $1 at the end of each year for the first 2n years. (II) Level payments of $3 at the end of each year thereafter. At the beginning of year 1 the present value of the payments specified in (I) equals the present value of the payments in (II). If the effective interest rate is i. Find (1 + i)^n
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