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Fresh out of college, Tara is negotiating with her new employer. The employer offers two options: A signing bonus of $5,000 today or a lump
Fresh out of college, Tara is negotiating with her new employer. The employer offers two options: A signing bonus of $5,000 today or a lump sum payment of $6,000 three years from now. If Tara can earn 6% annually on her investment, she should ________. Question 15 options: A) Take the lump sum payment because it has the lower future value B) Take the signing bonus because it has the higher future value C) Take the signing bonus because it has the lower future value D) Take the lump sum payment because it has the higher future value
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