Your investment advisor offers you an investment


a) Your investment advisor offers you an investment opportunity in which you will pay $1,920.42 today in exchange for a CF of $1,000 at EoYr1 and a CF of $1,000 at EoYr2. This is in your IRA account and you would prefer to be conservative so you require no more than a 2.75% annual rate of return. Does this investment fulfill your requirements?

b) What is your total return?

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Finance Basics: Your investment advisor offers you an investment
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