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An insurance company can invest in government bonds to obtain a yield of j2=14% p.a. The company is considering an investment which is a perpetuity

An insurance company can invest in government bonds to obtain a yield of j2=14% p.a. The company is considering an investment which is a perpetuity paying $3245 at the end of each quarter, and can be purchased for $153263. The net present value of this investment in dollars is:

a.

106906

b.

58954

c.

-106906

d.

-58954

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