How much would the value of a perpetuity

Reference no: EM132005275

Question: How much would the value of a perpetuity that paid $5,000, beginning one year from today, change if the first payment was to be received immediately? Assume the appropriate annual interest rate is 6%. a. The value would increase by $2,500. b. The value would increase by $5,000. c. The value would increase by $5,600. d. The value would increase by $6,000. e. There would be no change in value.

Reference no: EM132005275

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