Investment a costs 10000 today and pays back 11500 two
Investment A costs $10,000 today and pays back $11,500 two years from now. Investment B costs $8000 today and pays back $4500 each year for two years. If an interest rate of 5% is used, which alternative is superior?
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investment a costs 10000 today and pays back 11500 two years from now investment b costs 8000 today and pays back 4500
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