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Comparing cash flow streams

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Question: Comparing Cash Flow Streams. You have your choice of two investment accounts. Investment A is a 10-year annuity that features end-of-month $1,145 payments and has an interest rate of 7 percent compounded monthly. Investment B is an annually compounded lump-sum investment with an interest rate of 9 percent, also good for 10 years. How much money would you need to invest in B today for it to be worth as much as Investment A 10 years from now?

Reference no: EM131728230

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