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Elliott Dumack must earn a minimum rate of return of 16 %mto be adequately compensated for the risk of the following investment: Initial Investment $23,288
Elliott Dumack must earn a minimum rate of return of 16 %mto be adequately compensated for the risk of the following investment:
Initial Investment $23,288
End of Year Income
1 $9,081
2 $7,897
3 $6,481
4 $4,214
5 $2,600
a. Use present-value techniques to estimate the yield on this investment.
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