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uaker State Incorporated offers a new employee a single-sum signing bonus at the date of employment. Alternatively, the employee can receive $9,100 at the date
uaker State Incorporated offers a new employee a single-sum signing bonus at the date of employment. Alternatively, the employee can receive $9,100 at the date of employment plus $31,000 at the end of each of his first three years of service. Assuming the employee's time value of money is 9% annually, what lump sum at employment date would make him indifferent between the two options
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