Question: Problem 2(10 points): Toblowns a perpetuity that will pay $1,500 a year, starting one year from now. He offers to sell you all the payments

Problem 2(10 points): Toblowns a perpetuity that will pay $1,500 a year, starting one year from now. He offers to sell you all the payments remaining after the hrst 25 payments have been paid. What price should you offer him today for payments 26 onward if the discount rate is 8 percent? What does your offer price illustrate about the value of perpetuities

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Is the person willing to deal with the consequences?

Was there an effort to involve the appropriate people?

16. If you have very little power in an organization, then there is basically nothing you can or should do about it.