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You are considering an investment opportunity to generate positive cash flows annually at the end of the next five years. Keeping the projections of the
You are considering an investment opportunity to generate positive cash flows annually at the end of the next five years. Keeping the projections of the expected future cash flows constant, the higher the required rate of return___________.
A. the higher the present value of those cash flows
B. the lower the implied risk of the investment opportunity
C. the lower the present value of those cash flows
D. the higher the price you are willing to pay for this investment opportunity
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