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The Maybe Pay Life Insurance Company is trying to sell you an investment policy that will pay you and your heirs $ 1 4 1

The Maybe Pay Life Insurance Company is trying to sell you an

investment policy that will pay you and your heirs $

141, 221

per year

forever with the first payment coming in

9

years. Assume the

required return on this investment is

12.16 % .

How much will you pay

for the policy?

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