Question
How much less is a perpetuity of $3,800.00 worth than an annuity due of the same amount for 38 payments? Assume an interest rate of
How much less is a perpetuity of $3,800.00 worth than an annuity due of the same amount for 38 payments? Assume an interest rate of 10%. (Notice: if the present value of the perpetuity is higher, then the number will be negative.)
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Cases in Financial Reporting
Authors: Michael J. Sandretto
1st edition
538476796, 978-0538476799
