Question: please write the process Suppose that we are at time 0 and the interest rate is 10%. (a) What is the PV of an asset
please write the process
Suppose that we are at time 0 and the interest rate is 10%. (a) What is the PV of an asset that pays $5 a year forever starting from year 12 (b) What is the PV of an asset that pays $5 a year forever starting from year 212 (c) What is the PV of an asset that pays $5 a year for 20 years starting from year 1? (d) What is the PV of an asset that pays 20 installments of $5 a year starting today
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