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He will give you either 2000 1 year from now or 3000 4

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Present Value. Your favorite uncle has offered you the choice of the following options. He will give you either $2,000 1 year from now or $3,000 4 years from now. Which would you choose if the discount rate is (a) 10 percent? (b) 20 percent?

Reference no: EM13574546

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