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A piece of property may be acquired by making an immediate payment of $50000 and payments of $74500 and $100000 three and 5 years from
A piece of property may be acquired by making an immediate payment of $50000 and payments of $74500 and $100000 three and 5 years from now, respectively. Alternatively, the property may be purchased by making quarterly payments of $10300 in advance for 5 years. Which alternative is preferable if money is worth 15% compounded semi-annually?
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