Question: Using SYN , Pe , op the dataset Data 1 . dta. Browse the dath Tol enify the Data Stucture for this dataset. Moro owns
Using SYN Pe op the dataset Data dta. Browse the dath
Tol enify the Data Stucture for this dataset.
Moro owns a perpetuity that will pay $ per year, starting one year from now. He offers
to sell you all the payments remaining after the first payments have been paid. What price
should you offer him today for payments onward if the discount rate is percent? What
does your offer price illustrate about the value of perpetuities?
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