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help asap please, with the excel formula. two sources of income with equal present valuec C at time 0 provide annual payents in arrears during
help asap please, with the excel formula.
two sources of income with equal present valuec C at time 0 provide annual payents in arrears during 10 years. The first product, i.e. Product 1, pays 50,000 - 2,000k, where k is measured in years, and the second product pays a constant annual amount of b. The present vaues are calculated using a force of interest of delta(t) = 0.05 - 0.002t, where t is measured in years.
A B E F H 1 k v(k) Product 1 Cash-flows Discounted Product 2 Cash-flows Discounted 2 3 0 Initial capital C Annual amount B 4 1 nmin on 5 2 6 3 4 7 8 5 9 6 7 8 10 11 12 13 9 10 14 15 16Step by Step Solution
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