What is the present value of a perpetuity of $80 per year if the discount rate...

What is the present value of a perpetuity of $80 per year if the discount rate is 11%?

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Expert Solution

present value of perpetuity

= cash flow per year/interest

= 80/11%

= 80/0.11

= 727.27

jeff jeffy answered 1 year ago

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