Question: please answer the 2 questions Question 7 Not yet An investment has been established to fund scholarships in perpetuity. The next annual distribution will be
Question 7 Not yet An investment has been established to fund scholarships in perpetuity. The next annual distribution will be $1,500 and future payments will increase by 2.5 percent per year. What is the value of this investment at a discount rate of 7 percent? answered Marked out of 050 FIE Question O a $48.412.34 b. $26,666.67 c. $33,333.33 od. $60,000 O . $27,272,73 Interest rate risk as the time to maturity decreases and Question 8 Not yet answered Marked out of 020 as the coupon rate decreases estion O a. Increases in unaffected b. Increases; increases cincreases: decreases Od decreases: increases e decreasest decreases
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