What's the present value, when interest rates are 8.0 percent, of a $70 payment made every year forever? (Round your answer to 2decimal places.)Present value

Interest % = 8% Annual Payment = 70 Present Value of Payments made in perpetuity = Annual Payment /…

Answered: What's the present value, when interest…

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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What's the present value, when interest rates are 8.0 percent, of a $70 payment made every year forever? (Round your answer to 2 decimal places.) Present value