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A company is to purchase a new machine. Suppose that the annual cost of capital is 7%. Explain which of the two payment options is

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A company is to purchase a new machine. Suppose that the annual cost of capital is 7%. Explain which of the two payment options is better from a financial point of view: 55,000 at the moment, or 30,000 at the moment and 40,000 in four year's time

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