Smith has 100000 with which she buys a perpetuity on january 1,2005.Suppose that i=0.045 and the perpeuity has annual payments begining january 1,2006.The first three payments are 2000 each,the next three payments are 2000(1+r)each,....,increasing forever by a factor of 1+r every three years.What is r ? r= .0784, I just need to see how to get to the answer
Smith has 100000 with which she buys a perpetuity on january 1,2005.Suppose that i=0.045 and the perpeuity has annual payments begining january 1,2006.The first three payments are 2000 each,the next three payments are 2000(1+r)each,....,increasing forever by a factor of 1+r every three years.What is r ? r= .0784, I just need to see how to get to the answer
Chapter6: Exponential And Logarithmic Functions
Section: Chapter Questions
Problem 6RE: Hsu-Mei wants to save 5,000 for a down paymenton a car. To the nearest dollar, how much will sheneed...
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Smith has 100000 with which she buys a perpetuity on january 1,2005.Suppose that i=0.045 and the perpeuity has annual payments begining january 1,2006.The first three payments are 2000 each,the next three payments are 2000(1+r)each,....,increasing forever by a factor of 1+r every three years.What is r ?
r= .0784, I just need to see how to get to the answer
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