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A property will provide $11,200 a year forever. If its value is $128,000, what must be thediscountrate? I am getting a rate of .0875%. Is

A property will provide $11,200 a year forever. If its value is $128,000, what must be thediscountrate? I am getting a rate of .0875%. Is this correct? 11,200/128,000 = .0875 = 9%

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