Question: Financial Mathematics Class, please answer this using textbook formula rather than excel. Thanks, will rate kindly. 7. What is the present value of a perpetuity

Financial Mathematics Class, please answer this using textbook formula rather than excel. Thanks, will rate kindly.
Financial Mathematics Class, please answer this using textbook formula rather than excel.

7. What is the present value of a perpetuity starting at $5 paid at the end of the first year, decreasing by $1 each year thereafter until the payment reaches $1, after which payments of $1 per year continue forever, assuming an annual effective interest rate 7.5%

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