Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
![Given a discount rate of 8%, what is the present value of a quarterly perpetual annuity payment of 25,000?
Select the correct response:
1,231,380
1,311,899
2,113,321
1,734,243](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc6e715bf-d7d7-448c-a115-488942f58099%2F656d8d79-6d9e-4eea-b57c-2b6cc825dc00%2Fwan0hz_processed.png&w=3840&q=75)
Transcribed Image Text:Given a discount rate of 8%, what is the present value of a quarterly perpetual annuity payment of 25,000?
Select the correct response:
1,231,380
1,311,899
2,113,321
1,734,243
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