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Suppose the risk-free interest rate is 3.5%.

a. Having $200 today is equivalent to having what amount in one year?

b. Having $200 in one year is equivalent to having what amount today?

c. Which would you prefer, $200 today or $200 in one year? Does your answer depend on when you need the money Why or why not?

a. Having $200 today is equivalent to having what amount in oneyear?

Having $200 today is equivalent to having $nothing in one year.? (Round to the nearest cent.)

Financial Management, Finance

  • Category:- Financial Management
  • Reference No.:- M92410226

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