Danielle decides to purchase an increasing perpetuity with payments at the end of every 3...
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Danielle decides to purchase an increasing perpetuity with payments at the end of every 3 years. The first payment is 1, the second payment is 2, the third payment is 3.. etc. The price of the perpetuity is 32.64. Calculate the annual effective interest rate. (A) 5.50% (B) 5.63% (C) 5.75% (D) 5.88% (E) 6.00%
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