Help my price this

Discussion in 'Chit Chat' started by Rehoboth, May 25, 2013.

  1. Initial payment is x

    perpetual bond that pays 100k and grows at 7% annually


    Initial payment of 0

    perpetual bond that pays 40k and grows at 5% annually

    How to price X to equal the second bond.
  2. Lucrum


    You ever thought about applying for a job at the treasury department?

    I hear tell they skip all that shit now a days and just print money as needed.