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A man named Carlos, dressed in a pink sweater and black pants, shows up at Wahid's office and makes the following business proposition: I've got
A man named Carlos, dressed in a pink sweater and black pants, shows up at Wahid's office and makes the following business proposition: "I've got the best social network development software on the market. It's guaranteed to boost your revenues by $5,000 by the end of the year. I'll lease it to you for the year for $4,800, cash up front." What is the present value of the investment if the interest rate is 4 percent? OA. $5,004 OB. $4,808 OC. $4,992 OD. $5,200 Is it a smart investment? 4 O A. Yes, because the price of the investment today is greater than the present value of investment's stream of future revenues. B. No, because the present value of investment's stream of future revenues is greater than the price of the investment today
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