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Eternity Insurance is selling a perpetuity contract that pays $ 1 , 5 0 0 monthly. The contract currently sells for $ 7 4 ,
Eternity Insurance is selling a perpetuity contract that pays $ monthly. The contract currently sells for $
a Calculate the monthly rate of return on this investment.
b Calculate the APR.
c Calculate the effective annual rate.
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Investments
Authors: Zvi Bodie, Alex Kane, Alan J. Marcus
7th Edition
007331465X, 978-0073314655
