P3 Time value. You can deposit $10,000 into an account paying 9% annual interest either...
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P3 Time value. You can deposit $10,000 into an account paying 9% annual interest either today or exactly 10 years from today. How much better off will you be at the end of 40 years if you decide to make the initial deposit today rather than 10 years from today? Cash flow investment decision. Tom Alexander has an opportunity to purchase any of the investments shown in the following table. The ourchase price, the amount of the single cash inflow, and its year of receipt are given for each investment. Which purchase ecommendations would you make, assuming that Tom can earn 10% on his investments? Answer - fill in the blue boxes below
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