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Section Di vill make yearly payments forever. Question Two: You have an opportunity to invest in a deal that will make yearly paym ments will

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Section Di vill make yearly payments forever. Question Two: You have an opportunity to invest in a deal that will make yearly paym ments will grow at a rate of 5% per year. You will receive your first payment of $2000 one year from today. Due to the risks associated with this investment, you require a return of 10%. How much are you willing to pay for this we (KN1:3.5 marks)

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