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Two-part Question, please show steps for answer. I'm struggling with these two questions Your sister recently graduated. Rather than take the job she was offered
Two-part Question, please show steps for answer. I'm struggling with these two questions
Your sister recently graduated. Rather than take the job she was offered at a prestigious investment bank, she has decided to go into business for herself. She believes that her business will require an initial investment of $2 million. After that, it will generate a cash flow of $200,000 at the end of one year, and this amount will grow by 6% per year thereafter (i.e. forever). What is the IRR of this investment opportunity? As a crazy 30 day promotion, Exponential Bank offers an APR of 25% which compounds continuously. How much interest would you earn if you put your life savings of $10,000 in Exponential Bank for the 30 promotional daysStep by Step Solution
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