Find the capital value of the stream

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Reference no: EM131798862

Question: Suppose a continuous income stream has an annual rate of flow f(t) = 85e^-0.01t, in thousands of dollars per year, and the current interest rate is 7% compounded continuously.

(a) Find the total income over the next 12 years.

(b) Find the present value over the next 12 years.

Reference no: EM131798862

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