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You are thinking about investing $5000 in your friend’s landscaping business. Even though you know the investment is risky and you can’t be sure, you expect your investment to be worth $5750 next year. You notice that the rate for one-year Treasury bills is 1%. However, you feel that other investments of equal risk to your friend’s landscape business offer a 10% expected return for the year. What should you do?

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Financial Management, Finance

Category:- Financial Management
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