Offered you two different salary arrangements

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Reference no: EM131026197

You've just joined the investment-banking firm of JP Morgan. They've offered you two different salary arrangements. The salary will be received monthly. You can have $75,000 per year for the next two years, or you can have $64,000 per year for the next two years, along with a $20,000 signing bonus today. If the interest rate is 10% compounded monthly, which do you prefer?

Reference no: EM131026197

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