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Suppose the term structure of risk-free interest rates is shown below. What is the present value of an investment that pays $100 at the end

image text in transcribed Suppose the term structure of risk-free interest rates is shown below. What is the present value of an investment that pays $100 at the end of each of years 1,2 , and 3 ? If you wanted to value this investment correctly using the annuity formula, which discount rate should you use? The present value of the investment is $ (Round to the nearest cent.)

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