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An investment is expected to produce cash flows of $1,000 at the end of each of the next 6 years, then an additional lump sum
An investment is expected to produce cash flows of $1,000 at the end of each of the next 6 years, then an additional lump sum payment of $1,500 at the end of Year 6. What is the maximum price you are willing to pay for this investment now if your expected rate of return is 4%?
Select one:
a. $5,324.89
b. $5,974.77
c. $5,568.13
d. $6,427.61
e. $4,854.13
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