What is the most the investor should be willing to pay

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Question - An investment product promises to pay $54,000 at the end of 12 years. If an investor feels this investment should produce a rate of return of 10%, compounded annually, what's the most the investor should be willing to pay for the investment?

a. $169,475

b. $18,927

c. $54,000

d. $17,206

Reference no: EM132590888

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