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| rev | Admin | (Created page with "'''Solution: A''' Since Asset Y provides a cash flow at the same time that the liability is due <math>(t=4)</math>, we can apply its 250,000 value to reducing the liability amount from 750,000 to 500,000 . Then, we can establish the following two equations, both using <math>t=4</math> as the reference point for all cash flows. <math display = "block"> 500,000=A_X v^{-2}+A_Z v=A_X(0.95)^{-2}+A_Z(0.95) </math> Second, taking the derivative (with respect to <math>v</math>...") | Nov 20'23 at 22:08 | +872 |