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Deferred Perpetuity and Selling Price Carrie will receive her grandfather's farm when he dies. The farm is expected to earn $ 6 6 0 ,

Deferred Perpetuity and Selling Price
Carrie will receive her grandfather's farm when he dies. The farm is expected to earn $660,000 each year forever.
Carrie expects her grandfather will die in 8 years after that year's cash flow has been paid. The appropriate discount
rate is 5.5%.
What is the value of Carrie's inheritance when her grandfather dies?
What is the value of Carrie's inheritance today?
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