Question
Here are two sets of cash flows: Option A: $26,302.86 in 2 years plus $34,488.42 in 8 years time. Option B: $42,948.72 one year
Here are two sets of cash flows: Option A: $26,302.86 in 2 years plus $34,488.42 in 8 years time. Option B: $42,948.72 one year from today. Which of these values for i^(365) makes the present value of these two options the same? a. 8.650% b. 8.736% c. 8.304% d. 7.958% e. 8.131%
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Fundamental Managerial Accounting Concepts
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