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Peter is going to buy a car, he has two options : 1.Buy a car from a friend for $9 000 today 2.Use a dealership

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Peter is going to buy a car, he has two options : 1.Buy a car from a friend for $9 000 today 2.Use a dealership financing option : $ 175 per Month over the next 72 month with 5.5% interest rate. In both cases, cars are approximately the same (Assume no down payment, taxes, trade-in or other fees) If you have to calculate PV of both options, which one will be more attractive for Peter? O Option 2. Dealer O Option 1. Friend

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