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You are offered an investment with the following conditions: The cost of the investment is $900. The investment pays out a sum X at the
You are offered an investment with the following conditions: The cost of the investment is $900. The investment pays out a sum X at the end of the first year; this payout grows at the rate of 9% per year for another 10 years. If your discount rate is 13%, calculate the smallest X which would entice you to purchase the asset. Break down the formula for an excel spreadsheet with step by step instructions
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