What is the value of the business

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Reference no: EM13796507

Assume the interest rate is 5% per year and a business expects to earn 50,000 dollars in profits at the end of each year forever. What is the value of the business?

A. 1,500,000 dollars

B. 1,000,000 dollars

C. 500,000 dollars

D. 250,000 dollars

Reference no: EM13796507

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