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rev | Admin | (Created page with "'''Solution: D''' For the first perpetuity, <math display = "block"> \begin{align*} \frac{1}{\left(1+\dot{l}\right)^{2}-1}+1 &= 7.21 \\ \frac{1}{6.21} &= \left(1+i\right)^{2}-1 \\ i &= 0.0775 \end{align*} </math> For the second perpetuity, <math display = "block"> \begin{align*} R\left[\frac{1}{\left(1.0775+0.01\right)^{3}-1}+1\right]\left(1.0875\right)^{-1}=7.21 \\ 1.286139 R = 7.21(1.0875) 0.286139\\ R=1.74 \end{align*} </math> {{soacopyright | 2023 }}") | Nov 18'23 at 9:01 | +463 |