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You’ve just joined the investment banking firm of Dewey, Cheatum, and Howe. They’ve offered you two different salary arrangements. You can have $7,400 per month for the next two years, or you can have $6,100 per month for the next two years, along with a $33,000 signing bonus today. Assume the interest rate is 6 percent compounded monthly.

If you take the first option, $7,400 per month for two years, what is the present value?

What is the present value of the second option?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92790667

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