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Unformatted text preview: 16 A C 12.86 16.01 2. use dividend discount model (rounding error may cause a penny difference 17 E E 35 21.80 15.46 solve for perpetuity and discount perpetuity and other cash flows 18 B B 36 1.46 2.08 19 D E 37 4500 3500 20 B D 38 10.08 13.13 39 112.17 125.60 40 $907.54 $885.07 41 12.25% 9.05% rule of 72, almost 42 8.87% 8.38% 1 point PC for correct growth rate 43 116.67 150.00 perpetuity 44 800,000.00 600,000.00 calculate the nest egg you need (a monthly growing perpetuity  use monthly rates) $54.51 $40.88 calculate what it takes to accumulate the nest egg  per month bonus 25% per week APR 1300.00% EFF 10947544.25%...
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This note was uploaded on 02/09/2012 for the course MGT 3078 taught by Professor Marchman during the Spring '12 term at Georgia Tech.
 Spring '12
 Marchman

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