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Consider a firm with a contract to sell an asset for 150,000 five years from now the asset costs $75,000 to produce today. Given a

Consider a firm with a contract to sell an asset for 150,000 five years from now the asset costs $75,000 to produce today. Given a relevant discount rate on this asset of 10 percent per year, will the firm make a profit on this asset? At what rate does the firm just break even?

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