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6.33 As a winner of a competition, you can choose one of the following prizes:...

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Finance

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6.33 As a winner of a competition, you can choose one of the following prizes: a. 500,000 now b. 1,000,000 at the end of 6 years C 60,000 a year forever d. 100,000 per year for 10 years e 35,000 next year and rising thereafter by 5 percent per year forever. If the interest rate is 10 percent, which prize has the highest present value

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