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You have the opportunity to purchase mineral rights to a property in North Dakota with expected annual cash flows of $10,000 per year for eight
You have the opportunity to purchase mineral rights to a property in North Dakota with expected annual cash flows of $10,000 per year for eight years. If you discount these cash flows at a rate of 12% per year, what are these cash flows worth today if the cash flows occur at the end of each period? Answer $55,637.57 $49,676.40 $80,000.00 $122,996.93 Which of the following actions will DECREASE the present value of an investment? Answer Decrease the interest rate. Decrease the future value. Decrease the amount of time. All of the above will decrease the present value
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