You have decided to buy a perpetual bond. The bond makes one payment at the end...

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You have decided to buy a perpetual bond. The bond makes one payment at the end of every year forever and has an interest rat

business finance

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Answer 1

Answer #1

Payment at end of each year = Amount invested x interest rate

=1000$ *5% = 50$

Thus payment at end of each year is $50

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Answer 2

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