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Question 4 (25 marks): Suppose you are considering two options to lend as follows: - Option 1: Lend $5,000 at the opportunity cost of 6.25%

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Question 4 (25 marks): Suppose you are considering two options to lend as follows: - Option 1: Lend $5,000 at the opportunity cost of 6.25% per year, compounded daily (365 days/year). - Option 2: Lend $5,000 at the opportunity cost of 5.65% per year, compounded continuously. Which option will bring you $8,000 in the shortest time in years? Explain your answer. (25 marks) (Show ALL workings)

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