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A contract offers $10,000 immediately and $50,000 in eight years (Alternative 1) or $8,500 at the end of each of the next eight years (Alternative

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A contract offers $10,000 immediately and $50,000 in eight years (Alternative 1) or $8,500 at the end of each of the next eight years (Alternative 2 ). If money is worth 6%, which offer is preferable? The preferred alternative is

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