Homework Answers
| Monthly interest rate =5.5%/12 =0.45833% | ||||
| Value of perpetual annuity = monthly payment / monthly interest rate | ||||
| $209235 =Monthly payment /0.45833% | ||||
| Monthly payment = $209235*0.458333% | ||||
| =$958.99 | ||||
| Correct Option: FOURTH | ||||
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