Question
Smith buys a perpetuity, which pays $8000 every 3 years with the first payment 5 years from now. Each payment is 3% more than
Smith buys a perpetuity, which pays $8000 every 3 years with the first payment 5 years from now. Each payment is 3% more than the prior payment. Assume i = 0.06. Calculate the price (present value) of this perpetuity. Price = $
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Principles of Finance
Authors: Scott Besley, Eugene F. Brigham
6th edition
9781305178045, 1285429648, 1305178041, 978-1285429649
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