A perpetuity is to pay $10,000 at the end of every six months How much less money is required to fund the perpetuity if the money can be invested to earn 5 compounded semiannually instead of 4 compounded semiannually ...

Given PMT 10000 With i 52 25 PVPMTi 100 ...

A perpetuity is to pay $10,000 at the end of every six months. How much less money

Question:

A is to pay $10,000 at the end of every six months. How much less money is required to fund the if the money can be invested to earn 5% compounded semiannually instead of 4% compounded semiannually?
Perpetuity
Perpetuity refers to payments that are made without an end or maturity date. A perpetuity is classified as an annuity, which is something that earns a dividend or receives a payment at a regularly scheduled interval, generally yearly. So, how...