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Your neighbor offers you an investment opportunity which will pay you a single lump sum of $2,000 five years from today. The investment requires a

Your neighbor offers you an investment opportunity which will pay you a single lump sum of $2,000 five years from today. The investment requires a single payment of $1,500 today. If the interest rate you earning is compounding semiannually, what is the semiannually compounding interest rate (i.e., the nominal interest rate or r2 ) you will earn on this investment?

5.84%

33.33%

2.92%

5.92%

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