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Please answer all the parts of the question. You are thinking about investing $4,969 in your friend's landscaping business. Even though you know the investment
Please answer all the parts of the question.
You are thinking about investing $4,969 in your friend's landscaping business. Even though you know the investment is risky and you can't be sure, you expect your investment to be worth $5,706 next year. You notice that the rate for one-year Treasury bills is 1%. However, you feel that other investments of equal risk to your friend's landscape business offer an expected return of 11% for the year. What should you do? The present value of the return is $ (Round to the nearest cent.)Step by Step Solution
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