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Your friend is looking for investors in a risky business venture. To convince you to participate, she is offering you a 17% rate of return
Your friend is looking for investors in a risky business venture. To convince you to participate, she is offering you a 17% rate of return in your investment. How much should you be willing to invest your friends company, if she believes that she will be able to pay you the following amounts: $1000 at the end of the first year, $4000 at the end of the second year, and $5000 at the end of years 3, 4, and 5.
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