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1. You should ask $335,000 for an annuity that will pay you $25,000 per year for 25 years, with the first payment being made today

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1. You should ask $335,000 for an annuity that will pay you $25,000 per year for 25 years, with the first payment being made today if you think a fair required return is 7.5%. * True False 2. In risk-free environment, lower debt ratios always indicate good debt management. * True False 3. Excess inventory level will increase the current ratio and the liquidity of the company. True O False

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