Problem 6.50 – Present Value Calculation for a Perpetuity with t= dates

Fundamentals of Corporate Finance

Ross, Westerfield, and Jordan

13th Edition

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Difficulty – Medium

Calculate the present value at Date t=7 of a perpetual stream of payments of $7,300, with the first payment at Date t=15, assuming a discount rate of 4.6% per year. (Your numbers will vary)

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