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Business, 20.03.2021 19:30 summer5716

1) If the risk-free rate is 6%, what is the value at the beginning of year 0 of a risk-free annual cash flow that starts at the beginning of year 1 at $600, and increases at an annual rate of 2%? What if the cash
flow ends by the beginning of year 51 (i. e., the last cash flow is at the beginning of year 50)?

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