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1 . Louis Bank offered $ 2 5 , 0 0 0 cash now or $ 2 8 , 5 0 0 to be paid

1. Louis Bank offered $25,000 cash now or $28,500 to be paid after 2 years for a resort cabin. If the money can be invested in todays market for 4% annual interest compounded quarterly, which offer should Louis accept?

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