a. An investment pays you $20,000 at the end of this year, and $10,000 at the end of each of the four following years. What is the present value (PV) of this investment, given that the interest rate is 3% per year?
c. $55, 506
B. A perpetuity has a PV of $27,000. If the interest rate is 4%, how much will the perpetuity pay every year?
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