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You invest in a stock which expects to pay dividends each year. You expect to receive $500 at the end of the first year, $500
You invest in a stock which expects to pay dividends each year. You expect to receive $500 at the end of the first year, $500 at the end of the second year, $400 at the end of the third year, $400 at the end of the fourth year, and $$600 at the end of the fifth year in the form of annual dividends. If an annual interest rate is 8 percent, what is the future value of this uneven cash flow stream?
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