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Two friends each invest $1000 at 7% for 5 years. The first receives $70 at the end of each year and spends it. The second
Two friends each invest $1000 at 7% for 5 years. The first receives $70 at the end of each year and spends it. The second receives nothing until the end of the 5 years, but then receives $1,402.55. Why does the second receive more in total than the first? a. Inflation O b. Simple Interest c. Budgeting d. Compounding e. Opportunity Cost
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