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Calculate the present value of each of the following debt repayment options to determine which arrangement costs the least for the borrower. The interest rate

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Calculate the present value of each of the following debt repayment options to determine which arrangement costs the least for the borrower. The interest rate is 6.5% per annum compounded monthly. (a) (b) Pay $2000 now and $1500 in 3 years from now OR Pay $2500 in one year from now and $1000 in 2 years from now

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