Calculate the present value of yearly payments


Problem: Assuming an interest rate of 10%, calculate the present value of the following streams of yearly payments

a) $1,000 per year, forever, with the first payment one year from today

b) $500 per year, forever, with the first payment two years from today

c) $2,420 per year, forever, with the first payment three years from today

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Finance Basics: Calculate the present value of yearly payments
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