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How much should you invest now

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Question - Assume you want to invest an amount now to receive an annual return of $25,000 for ever, assuming the bank will pay you 5% annually, how much should you invest now?

1. Approximately $1,000,000

2. Approximately $500,000

3. Approximately $100,000

4. We cannot find this amount

Reference no: EM133119267

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