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Mike buys a perpetuity-immediate with varying annual payments. During the first 5 years, the payment is constant and equal to 10 . Beginning in year

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Mike buys a perpetuity-immediate with varying annual payments. During the first 5 years, the payment is constant and equal to 10 . Beginning in year 6 , the payments start to increase. For year 6 and all future years, the current year's payment is K% larger than the previous year's payment. At an effective annual interest rate of 9.2%, the perpetuity has a present value of 167.50. Calculate K, given K

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