Question
Live Forever Life Insurance Co. is selling a perpetuity contract that pays $2,291 monthly. The contract currently sells for $122,875.What is theAPRon this investment vehicle?
Live Forever Life Insurance Co. is selling a perpetuity contract that pays $2,291 monthly. The contract currently sells for $122,875.What is theAPRon this investment vehicle?(Enter your answer as a percentage, omit the "%" sign in your response,and round your answer to 2 decimal places.For example, 0.12345 or 12.345% should be entered as 12.35.)
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Financial Markets and Institutions
Authors: Jeff Madura
11th Edition
1133947875, 9781305143005, 1305143000, 978-1133947875
