Problem $11$ The inflation rate is $1\mathrm{.}5\%$ per year. The real rate of return is $2\mathrm{.}0\%$ per year. A

perpetuity project that paid $$100$ this year will provide income that grows by the inflation rate.

Show what this project is truly worth. Do this in both nominal and real terms.Problem $11$ The inflation rate is $1\mathrm{.}5\%$ per year. The real rate of return is $2\mathrm{.}0\%$ per year. A

perpetuity project that paid $$100$ this year will provide income that grows by the inflation rate.

Show what this project is truly worth. Do this in both nominal and real terms.