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(Related to Checkpoint 5.6) (Solving for i) You are considering investing in a security that will pay you $4,000 in 28 years. a. If the
(Related to Checkpoint 5.6) (Solving for i) You are considering investing in a security that will pay you $4,000 in 28 years. a. If the appropriate discount rate is 8 percent, what is the present value of this investrent? b. Assume these investments sell for $852 in retum for which you receive $4.000 in 28 years. What is the rate of retum invostors earn on this investment if they buy it for $852 ? a. If the appropriale discount rate is 8 percent, the present value of this investment is 5 (Round to the nearest cent)
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