Question
A record company bought the rights to an artists music catalogue and they expect to receive royalty payments of $38,000 per year forever (a perpetuity).
A record company bought the rights to an artists music catalogue and they expect to receive royalty payments of $38,000 per year forever (a perpetuity). What is this cash flow worth? Assume interest rates are 7%.
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Fundamentals Of Corporate Finance
Authors: David W Blackwell, Robert Parrino, David S Kidwell
1st Edition
0471270563, 9780471270560
