Based on the financial information of the 10 discount rate

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Sharon Smith will receive $1 million in 50 years. The discount rate is 10%. As an alternative, she can receive $5,000 today.

a. Based on the financial information of the 10% discount rate, should she wait for the $1 million? Why?

b. If the discount rate is 12% what is her better choice?

Reference no: EM13572229

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