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Suppose you have $500,000 to invest. You re trying to decide between two alternative uses of these funds. Alternative ONE will provide you with $65,000
Suppose you have $500,000 to invest. You re trying to decide between two alternative uses of these funds. Alternative ONE will provide you with $65,000 at the end of each year for 10 years, and Alternative TWO offers you a single lump-sum payment of $900,000 at the end of the 10 years. Assuming the appropriate interest rate is 5%. Which alternative should you select_______ ; What is the time value amount you calculated for Alternative ONE? ______ ; What is the time value amount you calculated for Alternative TWO? ____ Please fill in the blanks will give thumbs up!
Suppose you have $500,000 to invest. You re trying to decide between two alternative uses of these funds. Alternative ONE will provide you with $65,000 at the end of each year for 10 years, and Alternative TWO offers you a single lump-sum payment of $900,000 at the end of the 10 years. Assuming the appropriate interest rate is 5%. Which alternative should you select_______
; What is the time value amount you calculated for Alternative ONE? ______
; What is the time value amount you calculated for Alternative TWO? ____
Please fill in the blanks will give thumbs up!
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