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A perpetuity immediate pays out 400 semiannually for the first year. From then on the payments increase by 10 every year. Given the effective interest
A perpetuity immediate pays out 400 semiannually for the first year. From then on the payments increase by 10 every year. Given the effective interest rate is 9% annually, find the purchase price of this perpetuity.
a) 11,608
b) 11,568
c) 11,763
d) 11,785
e) 11,432
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