How much would you have had 10 years later

Assignment Help Financial Management

Reference no: EM131234410

1. Are you better off if a project first returns -10% followed by +30%, or if it first returns +30% followed by -10%?

2. Compare two stocks. Both have earned on average 8% per year. However, stock A has oscillated between 6% and 10%. Stock B has oscillated between 3% and 13%. (For simplicity, say that they alternated.) If you had purchased $500 in each stock, how much would you have had 10 years later?

Reference no: EM131234410

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