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Y our friend offers you an investment opportunity that would yield $100 per year for the next 3 years. Using a discount rate of 10%,

Y

our friend offers you an investment opportunity that would yield $100 per year for the next 3 years. Using a discount rate of 10%, decide whether this is a good investment opportunity. What is the present value of this investment?

a.

$200.05

b.

$250

c.

$248.68

d.

258.20

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