What is the present value for alternative

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Your Aunt Matilda Mae makes you the following offer: $15,000 upon undergraduate graduation in one year or $18,000 upon MBA graduation in 3 years. Which offer should you take if current rates are 14%? What is the present value for each alternative? Is your decision in above scenario the same if the applicable rate is 5%? What is the present value for each alternative?

Reference no: EM132384663

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