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The Perpetual Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $13,500 per year forever. If

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The Perpetual Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $13,500 per year forever. If the required return on this investment is 4.9 percent, how much will you pay for the policy? (Round your answer to 2 decimal places. (e.g., 32.16)) Suppose the Perpetual Life Insurance Co. told you the policy costs $290,000. At what interest rate would this be a fair deal? (Round your answer to 2 decimal places. (e.g., 32.16))

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