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Suppose you are a financial consultant to Jeff Bezo's former wife. While the divorce has been finalized they are still negotiating the financial settlement. They
Suppose you are a financial consultant to Jeff Bezo's former wife. While the divorce has been finalized they are still negotiating the financial settlement. They have agreed that the former Mrs Bezos is entitled to a lump sum payment of $30 billion, but Mr Bezos has a lot of cash tied up in his space adventure and so he would rather pay this out in installments of $3 billion per year for a certain number of years. Suppose Ms Bezos can lend or borrow 5% per year, what is the minimum number of payments she should accept? |
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