You are offered two investment opportunities with the following cash flow starting from a year...
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Finance
You are offered two investment opportunities with the following cash flow starting from a year today.
You can get A at a cost of C and B at a cost of C+100 at time 0 (today). The value of option A is twice as much as option B to you today. If your alternative is earning 6% annually in the market, what is C ?
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