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You have an opportunity to invest your savings of $40,000 in a business which will give you $45,000 at the end of year 1. The

You have an opportunity to invest your savings of $40,000 in a business which will give you $45,000 at the end of year 1. The other option is to keep the money in your bank account and renew the fixed deposit, which is paying 6% interest rate. Which is better option and why? Show your calculation and write the explanation.

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