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An asset promises to pay $1,000 in each of the next two years. a) What is its present value assuming the one-year rate of discount

An asset promises to pay $1,000 in each of the next two years.

a) What is its present value assuming the one-year rate of discount is 1.5% and the two-year is 2.2%?

b) What is its present value assuming both discount rates are 1.85%?

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