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you are considering the purchase of an investment which promises the following payments over its life. How much would you be willing to pay for

you are considering the purchase of an investment which promises the following payments over its life. How much would you be willing to pay for this investment, today, if your opportunity cost was 13.25%

Year End-Of- Year Cash Flow

1 $17500

2 $13500

3 $12500

4 $32000

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