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Two perpetuities immediate have the same interest rate. the first payment one year hence is 500 and increases at 4%. this perpetuity has a value
Two perpetuities immediate have the same interest rate. the first payment one year hence is 500 and increases at 4%. this perpetuity has a value of 9500. The second perpetuity has an initial payment of 400 and increases at 20 annually. Find the present value of the second perpetuity.
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