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What is first payment

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A. You have been awarded a settlement of $14000 per year for the next three years. The fair rate is 8%. I offer to pay you $40000 for it now. Should you sell it?

B. You have borrowed $210000 for a new house. The rate is 6%. Repayment is structured as a 4% growing perpetuity. What is your first payment?

Reference no: EM131992402

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