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Assume that you have just purchased an investment at Year O that will give you payments of $100 in each of Years 1 through infinity

Assume that you have just purchased an investment at Year O that will give you payments of $100 in each of Years 1 through infinity (a perpetuity), and an additional $200 in each of Years 10 through infinity (a second perpetuity), and an additional $300 in each of Years 20 through infinity (a third perpetuity). Also assume that the appropriate nominal, annual discount rate is 9 percent. 


Given this information, determine the maximum that you should have been willing to pay for this investment.

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