A perpetuity that pays $250 per year at an interest rate of 4% would have a market price equal to
A: $6,250.
B: $25,000.
C: $2,500.
D: $62,500.
A: $6,250.
B: $25,000.
C: $2,500.
D: $62,500.
举一反三
- The interest rate is 10%. What is the PV of an asset that pays $1 a year in perpetuity? A: $20 B: $30 C: $10 D: $40
- a bond offers an annual coupon rate of 4%, with interest paid semiannually. The bond matures in two years. At a market discount rate of 6%, the price of this bond per 100 of par value is closest to
- 中国大学MOOC: What is the real rate of interest if the inflation rate is 6% per year and the nominal interest rate per year is 12.5%?_________如果通货膨胀率为每年6％，名义年利率为12.5％，实际利率是多少？_________
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- 中国大学MOOC: What is the real interest rate if the nominal interest rate is 9% per year and the rate of inflation is 6% per year?_________ 如果名义利率为每年9％，通货膨胀率为每年6％，实际利率是多少？_________