Larrys Life Insurance Co. is trying to sell you an investment policy that will pay you and

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Larry’s Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $25,000 per year forever. Assume the required return on this investment is 4 percent. How much will you pay for the policy?

(Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Related Book For answer-question

Essentials of Corporate Finance

ISBN: 978-1260013955

10th edition

Authors: Stephen Ross, Randolph Westerfield, Bradford Jordan

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Posted Date: Jul 19, 2021 02:05 AM

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Larrys Life Insurance Co. is trying to sell you an investment policy that will pay you and

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Essentials of Corporate Finance

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