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Questions 1) 2) 3) 4) 5) Who lends money and who borrows money when buying and selling bonds? What is the relationship between interest rate, present value, and the length of a bond? What are the two main uses for calculating present value? What are the steps used to derive the 2nd equation for present value of an annuity? What is the difference between annuity and perpetuity? When do you accept a project and when do you reject it? How do you calculate PV and FV for one period? With business investments what must the projects be and how do you choose between them? How do you calculate PV for a perpetuity? What is another name for present value?
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