Unformatted text preview: in part (1) or $50,000 per year forever. Which is better in terms of present value? What if the stream of payments in part (2) only lasted 30 years instead of forever. What has the highest present value then? Hint: there is an easier way to solve this problem than adding up the present values of 30 payments one at a time....
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This note was uploaded on 04/03/2012 for the course ECN 437 taught by Professor Peterwilcoxen during the Spring '12 term at Syracuse.
- Spring '12