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You are considering in a security that has the following cash flow pattern. At the end of year 7 , you will receive the first
You are considering in a security that has the following cash flow pattern. At the end of year 7 , you will receive the first payment of $400. Every year after that, you will receive the same amount forever. What is the maximum amount that you should be willing to pay for this security if you want a rate of return of 6.99% ? Answer: $ (round to the nearest cent)
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