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Jake inherits a perpetuity that will pay him $1, 000 at the end of the first year increasing by $1, 000 per year until a

Jake inherits a perpetuity that will pay him $1, 000 at the end of the first year increasing by $1, 000 per year until a payment of $10, 000 is made at the end of the tenth year. Payments remain level after the tenth year at $10, 000 per year. Determine the present value of this perpetuity, assuming a 5% annual interest rate.

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