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Please calculate the present value of two payment scenarios where you will receive $ 6 0 0 each year for the next 8 years: Your

Please calculate the present value of two payment scenarios where you will receive $

600

each year for the next

8

years:

Your payment is discounted at a

5 %

rate.

Your payment is discounted at a

9 %

rate.

Compare the result, which one gives you more prevent value and more importantly, why?

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