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3. (25) Suppose you were offered to invest X Dollars now and receive Y Dollars a year from now. The annual interest rate is 10%

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3. (25) Suppose you were offered to invest X Dollars now and receive Y Dollars a year from now. The annual interest rate is 10% and the following three investment alternatives were presented to you. Y Alternative A $50 $85 $100 $75 $145 $165 -NPV Your utility function for this situation is exponential and represented by U(NPV) =1-e R . You are indifferent between alternatives A and B. How would you rank order the alternative C with respect to alternatives A and B

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