Solution-How much would you have to be paid

How much would you have to be paid

Reference no: EM133030285

Question -

A) You have ownership of an annuity that pays $207 per month for the next 55 months and a perpetuity that pays $684 per month. The monthly discount rate is .81%. How much would you have to be paid to sell the combined cash flow to someone else?

B) Given an EAR of 13.1%. Value the combined cash flow of receiving $2,595 in 13 years and paying $1,158 in 231 months.

Reference no: EM133030285

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How much would you have to be paid

Reference no: EM133030285

Reference no: EM133030285

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