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How much would you be willing to pay to purchase 1 share in a company that will pay you a one-time cash flow of $100
How much would you be willing to pay to purchase 1 share in a company that will pay you a one-time cash flow of $100 to be paid (with no risk) in one year? Assume required return is 5%. If you could buy shares in this firm for less than $95.23, what would you do? If the price of the shares is more than $95.23, what would you do
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