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1 a) The present value of an annuity lasting 72 interestperiodsand paying $ 2,000 at the beginning of each “k” interest periodsis$ 9,538.60. Given that the effective interest rate per interestperiodis 3.6575%, find k.1 b) Find an expression in terms of i(4) for theaccumulated value at theend of the twenty-one years of an annuity that pays $ 400 atthebeginning of each four-month period for 21 years. Yourexpression should NOT be a sum of terms. Your answer should beanice formula.1 c) Jason purchases a deferred perpetuity for $ 27,040. Theperpetuity has quarterly payments of $ 1,500. Express thewaitingtime until the first payment as a function of the annualeffectiveinterest rate i.
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