Question: It is estimated that t years from now, a certain investment will be generating income at the rate of f(t) = 8,000 + 400t dollars
It is estimated that t years from now, a certain investment will be generating income at the rate of f(t) = 8,000 + 400t dollars per year. If the income is generated in perpetuity and the prevailing annual interest rate remains fixed at 5% compounded continuously, find the present value of the investment.
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N PV lim 8000400te005t dt N0 Using integration by parts with u 8... View full answer
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