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If the interest rate is 8%, calculate the value of the following two investments? a. An investment that offers you $100 a year in perpetuity
If the interest rate is 8%, calculate the value of the following two investments?
a. An investment that offers you $100 a year in perpetuity with the payment at the end of each year.
b. A similar investment with the payment at the beginning of each year.
a. An investment that offers you $100 a year in perpetuity with the payment at the end of each year.
b. A similar investment with the payment at the beginning of each year.
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To calculate the value of the investments we can use the formula for the present value of ...
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Advanced Accounting
Authors: Gail Fayerman
1st Canadian Edition
9781118774113, 1118774116, 111803791X, 978-1118037911
