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Investors Al and Bea lend $100,000 to each new idea. Al's history is that he selects low-risk projects or ideas that hit 50% of the

Investors Al and Bea lend $100,000 to each new idea. Al's history is that he selects low-risk projects or ideas that hit 50% of the time. Bea's history is that she takes on high-risk projects that hit 20% of the time. What rate of return must each successful project pay Al and Bea for them to break even? Explain your calculations.

A) Al's rate is 200% and Bea's rate is 450%.

B) Al's rate is 100% and Bea's rate is 400%.

C) Al's rate is 200% and Bea's rate is 400%.

D) Al's rate is 450% and Bea's rate is 100%.

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