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3-2) Magdalen, Miriam, and Mary June were asked to consider two different cash flows: 500 that they could receive today and 1000 that would be
3-2) Magdalen, Miriam, and Mary June were asked to consider two different cash flows: 500 that they could receive today and 1000 that would be received 3 years from today. Magdalen wanted the 500 euro today, Miriam chose to collect 1000 in 3 years, and Mary June was indifferent between these two options. Can you offer an explanation of the choice made by each woman? Solve the diagram below for the unknown Q assuming a 10% interest rate. 3-5) 200 0 2 4 n=4 0 (Answer: Q-136.60)
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