You are evaluating a growing perpetuity investment from a large financial services firm. The investment promises an
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Question:
You are evaluating a growing perpetuity investment from a large financial services firm. The investment promises an initial payment of $15,200 at the end of this year and subsequent payments that will grow at a rate of 3.7 percent annually. If you use a 9 percent discount rate for investments like this, what is the present value of this growing perpetuity?
(Round answer to 2 decimal places, e.g. 15.25.)
Present Value?
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