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Consider a firm's investment opportunity with a cost of $100,000 today and a benefit of $105,000 at the end of one year. If the interest
Consider a firm's investment opportunity with a cost of $100,000 today and a benefit of $105,000 at the end of one year. If the interest is 10%. Would you recommend acceptance of this opportunity? Why or why not?
BASED ON THE QUESTION ABOVE, IF YOU USED COMPOUNDING OR DISCOUNTING HOW WOULD YOU WORK THIS QUESTION?
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