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Laurie Bream is comparing two investment options that each pay 6 percent interest, compounded annually. Both options will provide her with $ 1 2 ,
Laurie Bream is comparing two investment options that each pay percent interest,
compounded annually. Both options will provide her with $ of income. Option A
pays $ the first year followed by two annual payments of $ each. Option B
pays three annual payments of $ each. Which one of the following statements is
correct given these two investment options? Assume a positive discount rate. No
calculations needed.
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