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2 . Rachel is considering two different investments. Under Investment 1 , Rachel will get a cash receipt ( a payment to her ) of

2. Rachel is considering two different investments. Under Investment 1, Rachel will get a cash receipt (a payment to her) of $10,000 every 6 months for 5 years. Under Investment 2, Rachel will get a cash receipt (a payment to her) of $20,000 every year for 7 years. Rachel uses an interest rate of 10% annually, but knows that this annual rate may be adjusted for the number of periods in each year.
Which statement is true?
Group of answer choices
Rachel should just get a savings account at a bank.
Rachel will value the investment choices using present value of an annuity.
Racel will value the investment choices using present value of $1.
Rachel cannot really compare these two investments.

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