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An investor is considering the following opportunity: He will put capital into a start-up company today. He will not receive any cash flows from the
An investor is considering the following opportunity: He will put capital into a start-up company today. He will not receive any cash flows from the investment until end of the 5th year. At that point, he will receive 11.00 years of $10,000.00 per year. If his discount rate on this investment is 20.00%, what is the value of this opportunity today?
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