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2) Investment X offers to pay you 5,300 per year for 8 years, whereas Investment Y offers to pay you 7,300 per year for 5

2) Investment X offers to pay you 5,300 per year for 8 years, whereas Investment Y offers to pay you 7,300 per year for 5 years. Which of these cash flow streams has the higher present value if the discount rate is 5%? If the discount rate is 15%?

5)If you put up 45,000 today in exchange for a 6.4%, 15 year annuity, what will the annual cash flow be?

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