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You have an opportunity to purchase a Magic Box. The Magic Box produces a $ 5 0 bill every year on the anniversary date...forever. As
You have an opportunity to purchase a Magic Box. The Magic Box produces a $ bill every year on the anniversary date...forever. As an added bonus it also pays you $ on the purchase date. Your discount rate is What is the most you would pay for the box?
How much would you pay if the box stops working after the th payment?
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