Question
A power company pays a landowner an annual fee of $ 500 as a right of way for a high voltage line. This amount will
A power company pays a landowner an annual fee of $ 500 as a right of way for a high voltage line. This amount will be paid in perpetuity and the first payment will take place immediately. The owner considers it possible for him to invest the money in investments providing him with an annual rate of 15%. The current value of the annuity for the owner is:
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Fundamentals Of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
16th Edition
0357517571, 978-0357517574
