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You are expecting annual cash payments that will begin one and a half years from today (18 months) and will grow at 3% per year
You are expecting annual cash payments that will begin one and a half years from today (18 months) and will grow at 3% per year forever. The first annual cash payment is $100 and the appropriate discount rate is 6% per year. Provide an equation, including all of the inputs, to calculate the present value of the expected future cash payments.
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