Question a perpetuity immediate pays out 400 semiannually, Ask an Expert

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Question: A perpetuity immediate pays out 400 semiannually for the first year. From then on the payments increase by 10 every year. Given the effective interest rate is 9% annually, find the purchase price of this perpetuity. The response must be typed, single spaced, must be in times new roman font (size 12) and must follow the APA format.

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