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You have decided to invest in a new business venture that will likely to pay you $800 at the end of each month for the
You have decided to invest in a new business venture that will likely to pay you $800 at the end of each month for the next 10 years. You believe that a reasonable rate of return on your investment should be an annual rate of 12% compounded monthly. How much should you pay for the investment? What will be total amount of cash you will receive over the next 10 years? What do you call the difference?
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