Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. you are thinking about investing $4,969 in your fr

You are thinking about investing $4,969 in your friend's landscaping business. Even though you know...

60.1K

Verified Solution

Question

Finance

You are thinking about investing $4,969 in your friend's landscaping business. Even though you know the investment is risky and you can't be sure, you expect your investment to be worth $5,704 next year. You notice that the rate for one-year Treasury bills is 1%. However, you feel that other investments of equal risk to your friend's landscape business offer an expected return of 9% for the year. What should you do? The present value of the return is $ nothing. (Round to the nearest cent.) You should invest in the business not invest in the business . (Select from the drop-down menu.)

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Medical Sciences
1.2K views

If blood pressure drops over a long period of time, fluid in the distal convoluted tubule...

Physics
1.2K views

Captain Sarfo is examining the trip manifest for round trip for his personnel carrier, and is...

Psychology
1.2K views

Compare and contrast the traditional roles of mothers and fathers in caring for their children in...

Physics
1.2K views

At t = 0, a flywheel has an angular velocity of 6.2 rad/s, an angular acceleration...

Accounting
1.2K views

QUESTION 1 The following information was obtained from the accounting records of Williams Limited, a distribution of...

Physics
1.2K views

Two identical particles P and Q of rest mass m are moving with velocities 5c...

Basic Math
1.2K views

Stanley's weekly allowance is $5. He can also earn $2 each time he walks the...

Accounting
1.2K views

Estimated taxes for self-employment are computed and paid __________. Monthly. Quarterly. Semi-annually. Yearly.

Accounting
1.2K views

Assigning Cost of Resources to Activities, Unbundling the General Ledger Golding Bank provided the following...

Accounting
1.2K views

When looking at the differences between generally accepted accounting principles for public and private colleges...

Accounting
1.2K views

Bikes-R-Us Company The company sponsors a defined benefit plan for its 200 employees. On January...

Finance
1.2K views

Please help me with this example. The tables are for calulation and note down the...