An investor purchasing a British consol is entitled to receive annual payments from the British government forever.

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An investor purchasing a British consol is entitled to receive annual payments from the British government forever. What is the price of a consol that pays $75 annually if the next payment occurs one year from today? The market rate is 3.1 percent.

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Corporate Finance

ISBN: 978-1259918940

12th edition

Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Bradford Jordan

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Question Posted: Dec 05, 2019 07:31 AM

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An investor purchasing a British consol is entitled to receive annual payments from the British government forever.

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Corporate Finance

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