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Answer selected may not be the correct answer A company is comparing the outlay of $1 million today to a return of $2 million ten
Answer selected may not be the correct answer
A company is comparing the outlay of $1 million today to a return of $2 million ten years from now. Which statement is most accurate. This is a present value problem that requires discount the future payment This is a duration problem that requires estimating if a ten-year period is acceptable. This is a time value problem. The is a rate-of-return problem that would require the company to compare the calculated rate-of-return to an acceptable rate-of-return. This is a future value problem that requires compounding calculations.
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