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A perpetuity-due with varying annual payments is available. During the first five years the payment is constant and equal to 40. Beginning in year 6,

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A perpetuity-due with varying annual payments is available. During the first five years the payment is constant and equal to 40. Beginning in year 6, the payments start to increase. For year 6 and at future years the payment in that year is 5% larger than the payment in the year immediatwy preceding that year. (k

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