EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN: 9781337514835

Author: MOYER

Publisher: CENGAGE LEARNING - CONSIGNMENT

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Question

An investment will generate $10,000 a year for 25 years. If you can earn 10

percent on your funds and the investment costs $100,000, should you buy it? Would your answer be different if you could earn only 7 percent?

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