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You just won a lottery that makes payment at the end of the year annually forever. The first payment will be $3,051 and will be
You just won a lottery that makes payment at the end of the year annually forever. The first payment will be $3,051 and will be paid one year from today. Every year thereafter, the payments will increase by 1 percent annually. What is the present value of your prize at a discount rate of 7.9 percent?
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