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An investment will offer $ 9 4 4 per year forever, starting 7 years from today. If the relevant interest rate is 1 7 %
An investment will offer $ per year forever, starting years from today. If the relevant interest rate is per year as an EAR the value of the investment today is $
Hint: All cash flows must be brought to the "year point. Look carefully at the timing of these payments and compare that to what the PV Perpetuity formula assumes about timing. Use the PV Perpetuity formula first to summarize all the payments, determine where that value is and then move that value to year
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Do not enter dollar signs, percent signs, commas, X or any words in your response. Do not round any intermediate work, but round your final response to decimal places example: if your answer is or $ you should enter
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