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Example 2: Im considering an investment in a new business. If successful, I expect the investment to be worth $80,000 4 years from now. Success

Example 2: Im considering an investment in a new business. If successful, I expect the investment to be worth $80,000 4 years from now. Success is far from certain, however, and because of the risk I will only invest if it is possible to earn a return of 25%. What is the most I would be willing to invest in the business today?

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