Question: If the interest rate is 7% compounded annually, what is the value of the following three investments? a. An investment that offers you $130 a
If the interest rate is 7% compounded annually, what is the value of the following three investments? a. An investment that offers you $130 a year in perpetuity with the payment at the end of each year. Note: Round your answer to 2 decimal places. b. A similar investment with the payment at the beginning of each year. Note: Do not round intermediate calculations. Round your answer to 2 decimal places. c. A similar investment with the payment spread evenly over each year. Note: Do not round intermediate calculations. Round your answer to 2 decimal places
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